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The following information is given on expected CDE stock returns (r) in three possible future states of the economy: r is 24% with probability 0.2,
The following information is given on expected CDE stock returns (r) in three possible future states of the economy: r is 24% with probability 0.2, r is 15% with probability 0.45, and ris 8% with probability 0.35. What are the expected return and standard deviation of CDE stock returns? A) 47% and 100%. B 15.67% and 3%. 14.35% and 3%. D) 14.35% and 5.74%
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