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Stock A has the following returns for various states of the economy: (5 marks) State of the Economy Probability Stock A's Return Recession 10% -25%
Stock A has the following returns for various states of the economy: (5 marks)
State of the Economy | Probability | Stock A's Return | ||
Recession | 10% | -25% | ||
Below Average | 15% | -10% | ||
Average | 50% | 15% | ||
Above Average | 15% | 40% | ||
Boom | 10% | 60% |
Stock As standard deviation of returns is ________(show your solution)
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