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The common stock of Perforated Pool Liners, Inc. now sells for $50.00 per share. The table below shows the anticipated stock price and the dividend

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The common stock of Perforated Pool Liners, Inc. now sells for $50.00 per share. The table below shows the anticipated stock price and the dividend to be paid one year from now. Both the price and the dividend will depend on the level of growth experienced by the firm.

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The common stock of Perforated Pool Liners. Inc. now sells for $50.00 per share. The table below shows the anticipated stock price and the dividend to be paid one year from now. Both the price and the dividend will depend on the level of growlh experienced by the rm. Slab Prob-hilly, pin} Enddh'felr Price Annual Dlv'idend Sup-er high growth 0.095 562 $3 High grow'l 0.133 $50 $3 Normal growth 0.401 $56 $2 Low gmw'l 0.20?I $51 $2 No growth 0.109 $45 $0 a. Calculate the holding period retum (HPR) for each ofthe possible states. assuming a one-year holding period. (Use a negative sign to indicate a negative answer. Round your answer to 2 decimal places.) Super high growth High grown-I Norrnal growth Low gmw'l No growth 3939-39-39:? [ b. What is the expected retum for a holder 0! Perforated Pool Liners stock? [Round your answer to 2 decimal places.) Expected HPR 5r, c. What is the standard deviation of the returns? (Round your answer 1:0 2 decimal pl aces.) Standard deviation |:|%

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