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A stock's returns has the following distribution: Demand for the Company's Products Probability of this Demand Occurring Rate of Return if this Demand Occurs Weak
A stock's returns has the following distribution:
Demand for the Company's Products | Probability of this Demand Occurring | Rate of Return if this Demand Occurs |
Weak | 0.1 | (50%) |
Below Average | 0.2 | (5) |
Average | 0.4 | 16 |
Above Average | 0.2 | 25 |
Strong | 0.1 | 60 |
1.0 |
Calculate the stock's expected return, standard deviation, and coefficient of variation.
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