Question
SST Inc is considering an investment in one of two common stocks. Given the information that follows, based on the expected rate of return and
SST Inc is considering an investment in one of two common stocks. Given the information that follows, based on the expected rate of return and standard deviation?
| Common Stock A | Common Stock B | ||
| Probability | Return | Probability | returns |
| .30 | 11% | .20 | -5% |
| .40 | 15% | .30 | 6% |
| .30 | 19% | .30 | 14% |
|
|
| .20 | 22% |
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Personal Finance Building Your Future
Authors: Robert Walker, Kristy Walker
2nd Edition
0077861728, 9780077861728
