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(2-5) Expected Return: Discrete Distribution A stock's return has the following distribution: Demand for the Company's Products Weak Below average Average Above average Strong Probability

(2-5) Expected Return: Discrete Distribution A stock's return has the following distribution: Demand for the Company's Products Weak Below average Average Above average Strong Probability of This Demand Occurring 0.1 0.2 0.4 0.2 0.1 1.0 Rate of Return if This Demand Occurs (%) -50% Calculate the stock's expected return and standard deviation. -5 16 25 60
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Calculate the stock's expected return and standard deviation

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