Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

After extensive research, you believe the probability distribution for next year's return on FB Inc is: ReturnProbability-1.5%0.220.2%0.3-6.3%0.323.4%0.2 Compute the standard deviation of this return. Express

After extensive research, you believe the probability distribution for next year's return on FB Inc is:

ReturnProbability-1.5%0.220.2%0.3-6.3%0.323.4%0.2

Compute the standard deviation of this return.

Express your answer as a percentage to three decimal places (the percent sign is not essential).That is, if you compute a standard deviation of 0.12345, enter your answer as 12.345.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Principles of Managerial Finance

Authors: Chad J. Zutter, Scott B. Smart

15th edition

013447631X, 134476315, 9780134478197 , 978-0134476315

More Books

Students also viewed these Finance questions

Question

Exude confidence, not arrogance.

Answered: 1 week ago