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RISK ANALYSIS a. Given the following information, calculate the expected value for Firm C's EPS. Data for Firms A and B are as follows: E(EPSA)

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RISK ANALYSIS a. Given the following information, calculate the expected value for Firm C's EPS. Data for Firms A and B are as follows: E(EPSA) = $5.10, and = $3.59; E(EPSB) = $4.20, and B = $2.94. Round your answer to two decimal places. Probability 0.1 0.2 0.4 0.2 0.1 Firm A: EPSA ($1.67) $1.80 $5.10 $8.40 $11.87 Firm B: EPSB (1.20) 1.30 4.20 7.10 9.60 Firm C: EPSC (2.58) 1.35 5.10 8.85 12.78 E(EPSC) = $ b. You are given that c = $4.11. Discuss the relative riskiness of the three firms' earnings using their respective coefficients of variation. Round your answer to two decimal places. CV The most risky is l -Select- . )

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