Question
An investment's possible payoffs are 10 percent, 10 percent, and 30 percent. The probabilities that these payoffs will occur are 0.30, 0.40, and 0.30, respectively.
An investment's possible payoffs are 10 percent, 10 percent, and 30 percent. The probabilities that these payoffs will occur are 0.30, 0.40, and 0.30, respectively. What is the expected rate of return on the investment?
| 10.0% | ||
| 9.5% | ||
| 15.0% | ||
| 18.0% |
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Fundamentals Of Human Resource Management
Authors: David A DeCenzo, Stephen P Robbins, Susan L Verhulst
12th Edition
1119032741, 9781119032748
