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Demand for the Company's Products A stock's returns have the following distribution: Probability of this Rate of Return if this Demand Occurs Demand Occurring
Demand for the Company's Products A stock's returns have the following distribution: Probability of this Rate of Return if this Demand Occurs Demand Occurring Weak 0.1 (38%) Below average 0.1 (14) Average 0.3 17 Above average 0.3 20 Strong 0.2 53 1.0 Assume the risk-free rate is 2%. Calculate the stock's expected return, standard deviation, coefficient of variation, and Sharpe ratio. Do not round intermediate calculations. Round your answers to two decimal places. Stock's expected return: 25.20 % Standard deviation: 18.57 % Coefficient of variation: 73.69 Sharpe ratio: 0.20
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