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Company shares return has the following distribution: Demand for the Companys Products Probability of this demand occurring Rate of return if this demand occurs (%)
Company shares return has the following distribution:
| Demand for the Companys Products | Probability of this demand occurring | Rate of return if this demand occurs (%) |
| Weak | 0.1 | -50 |
| Below Average | 0.2 | -15 |
| Average | 0.4 | 16 |
| Above Average | 0.2 | 25 |
| Strong | 0.1 | 60 |
Required: Calculate the shares expected return and standard deviation.
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Financial Management Principles and Applications
Authors: Sheridan Titman, Arthur Keown, John Martin
12th edition
133423824, 978-0133423822
