Help Save & Exit Submit Use the following information for Question 27 The stock price for RIM (Research in Motion), the former maker of the once popular Blackberry smartphone, was quite volatile for several years, before it finally went into free fall in the spring of 2011. According to Yahoo Finance, the closing price for the last trading day of November for each of the listed years was: 2003 2004 2005 2006 2007 2008 Stock Price $87.34 $104.81 $70.86 $158.75 $113.83 $54.50 As At Nov 30 20:21 HPR First, calculate the one year Holding Period Return for the period ending November 30, 2006. The Holding Period Return (HPR) for the one-year period ending November 30, 2006 is: Multiple Choice 1319 2:19 2000- AAENG 3. In class, we studied several different methods of calculating an "average". For example, if using historical rates of return, we can calculate either an Arithmetic Mean (AM) or a Geometric Mean (GM). If using projected future rates of return, we calculate an Expected Value instead of either the AM or GM. Assume we have made the following set of projections regarding the possible rates of return for a company we are analyzing: State of the Economy Probability Return Recession 20% 2% Normal 60% 10% Boom 20% What is the expected rate of return for this firm's stock? 20% Multiple Choice 12.0% 10.4%