Question
If the economy flourishes, Cheng's Plumbing stock is expected to return 17%. If the economy falls into a recession, the stock's return is projected at
If the economy flourishes, Cheng's Plumbing stock is expected to return 17%. If the economy falls into a recession, the stock's return is projected at 8%. The probability of a boom is 70% while the probability of a recession is 30%. What is the variance of the returns on this stock?
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Finance And Sustainability Proceedings From The Finance And Sustainability Conference Wroclaw 2017
Authors: Agnieszka Bem, Karolina Daszy?ska-?ygad?o , Ta?ána Hajdíková, Péter Juhász
1st Edition
3319922270,3319922289
