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Jerome J. Jerome is consisting investigation in a security that has the following distribution of possible one-year returns: Probability of occurrence 0.10 0.20 0.30 0.30

Jerome J. Jerome is consisting investigation in a security that has the following distribution of possible one-year returns: Probability of occurrence 0.10 0.20 0.30 0.30 0.10 Possible returns -0.10 0.00 0.10 0.20 0.30

a) What is the expected return and standard deviation associated with the investment? b) Is there much downside risk? How can you tell?

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