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31. FB Energys stock has the following probability distribution: If economy is good (the probability is 20%), its expected stock return is 20%; if economy
31. FB Energys stock has the following probability distribution: If economy is good (the probability is 20%), its expected stock return is 20%; if economy is on average (the probability is 60%), its expected stock return is 10%; if economy is bad (the probability is 20%), its expected return is -20%. Find the expected rate of return for the stock.
4.0% | ||||||||||||||
6.0%
Using the data from Question 31, find the standard deviation (risk) for FB Energys stock
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10.0% | ||||||||||||||
14.0%
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