Company Name

Nelson Ltd (N)

Harvey Ltd (H)

Current Share price

$1.25

$3.10

Bull market price in one year

$1.95

$4.10

Bear market price in one year

$1.40

$3.25

Probability

0.75

0.25

From the data in the table, calculate :

a)The return in one year for N and H in both Bull and Bear conditions.

b)The expected return in N and H considering the probabilities.

c)The Standard Deviation for both N and H