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Blue Mountain stock has the following probability distribution of expected returns. What is Blue Mountains stock expected rate of return and standard deviation? Probability Rate

Blue Mountain stock has the following probability distribution of expected returns. What is Blue Mountains stock expected rate of return and standard deviation?

Probability Rate of Return
0.1 -15%
0.2 0%
0.4 5%
0.2 10%
0.1 25%
  • A. Rate of Return = 7% SD = 11.3268%
  • B. Rate of Return = 5% SD = 9.4868%
  • C. Rate of Return = 5% SD = 7.4811%
  • D. Rate of Return = 7% SD = 18.7668%

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