Question
Expected return and standard deviation. Use the following information to answer the questions: a.What is the expected return of each asset? b.What is the variance
Expected return and standard deviation. Use the following information to answer the questions:
a.What is the expected return of each asset?
b.What is the variance of each asset?
c.What is the standard deviation of each asset? Hint: Make sure to round all intermediate calculations to at least seven (7) decimal places. The input instructions, phrases in parenthesis after each answer box, only apply for the answers you will type.
| State of Economy | Probability of State | Return on Asset A in State | Return on Asset B in State | Return on Asset C in State |
| Boom | 0.34 | 0.04 | 0.22 | 0.31 |
| Normal | 0.49 | 0.04 | 0.05 | 0.23 |
| Recession | 0.17 | 0.04 | -0.02 | -0.27 |
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Renewable Energy Finance Theory And Practice
Authors: Santosh Raikar, Seabron Adamson
1st Edition
0128164417, 9780128164419
