Question
Bloome Co.'s stock has a 20% chance of producing a 30% return, a 50% chance of producing a 12% return, and a 30% chance of
Bloome Co.'s stock has a 20% chance of producing a 30% return, a 50% chance of producing a 12% return, and a 30% chance of producing a -18% return. What is the firm's expected rate of return?
| 6.60% | ||
| 7.12% | ||
| 8.55% | ||
| 9.00% | ||
| 9.50% |
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Finance For Executives Managing For Value Creation
Authors: Gabriel Hawawini, Claude Viallet
6th Edition
1473749247, 9781473749245
