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8-1: EXPECTED RETURN A stocksreturns have the following distribution: Demandfor the Probabilityof This Rateof Return If This CompanysProducts Demand Occurring DemandOccurs Weak 0.1 (50%) BelowAverage
8-1: EXPECTED RETURN A stocksreturns have the following distribution:
Demandfor the Probabilityof This Rateof Return If This
CompanysProducts Demand Occurring DemandOccurs
Weak 0.1 (50%)
BelowAverage 0.2 (5)
Average 0.4 16
Aboveaverage 0.2 25
Strong 0.1 60
1.0
Calculate thestocks expected return, standard deviation, and coefficientof variation.
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