Problem 2-5 Expected Return: Discrete Distribution

The market and Stock J have the following probability distributions:

Probability	rM	rJ
0.3	12%	21%
0.4	9	3
0.3	18	13

Calculate the expected rate of return for the market. Round your answer to two decimal places. % Calculate the expected rate of return for Stock J. Round your answer to two decimal places. %

Calculate the standard deviation for the market. Round your answer to two decimal places. % Calculate the standard deviation for Stock J. Round your answer to two decimal places. %

Calculate the coefficient of variation for the market. Round your answer to two decimal places. Calculate the coefficient of variation for Stock J. Round your answer to two decimal places.