Question $18(1$ point$)$

Suppose a firm's stock is $40\%$ likely to have a $10\%$ return or a $q=(1-40\%)$ likelyhood of a $-20\%$ return. What is the volatility of the firm's stock return $($expressed as a percentage$)?$

Instructions: Round the result to two decimal places and do not put the $"\%"$ symbol in the answer box. For example if you get a result of $3\mathrm{.}0492\%$ then write $3\mathrm{.}05$ in the answer box below.

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