5. Expected Value You can buy a lottery ticket for $1. The current jackpot is $10 million, and the odds of winning are 1 in 16 million. What is the expected dollar payout if you buy 1 ticket? What is your expected percentage return? A. .00190 ?.--10% ?.-.01% D. -37.5% 6. Historical Return and Variance Your portfolio has had retums of 10%, -7%, 28% 11% over the last four years. What has been your average annual return? What is the standard deviation of your past returns? SD A. 6% B. 5% C. 5% D. 5.5% 15 .66% 18.34% 17.83% 18.22% 7. Expected Return and Variance You estimate that stock in Alphacorp has the following probability distribution of returns for the next year. What is the stock's expected return and standard deviation? Return 0.10 0.07 0.10 0.15 Probabilit 0.2 0.3 E. 6.3% F. 5.3% G. 5.3% H. 6.3% 15% 8% 7% 18%