Question
B2. You have the following information on a stock.Find the standard deviation of expected returns for stock. Economy Probability Return on A State 1 (Bust)
B2. You have the following information on a stock.Find the standard deviation of expected returns for stock.
| Economy | Probability | Return on A |
| State 1 (Bust) | 55% | -8% |
| State 2 (Boom) | 45% | 30% |
B3. Fast Buck Financial, Inc. has a beta of 2.50 and Easy Pawn, Inc. has a beta of 2.50.If you put 55% of your money in Fast Buck Financial, Inc. and 45% in Easy Pawn, Inc., what is the beta of your portfolio?
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Financial And Managerial Accounting Vol 1
Authors: John Wild, Ken Shaw, Barbara Chiappetta
4th Edition
0077318358, 978-0077318352
