Question
The following stock has four return scenarios as below, what is the EXPECTED RISK of this stock? (You must round up your answers to two
The following stock has four return scenarios as below, what is the EXPECTED RISK of this stock?
(You must round up your answers to two decimals and type answer without the percentage sign. E.g. if you answer is 15.856%, type 15.86)
| Scenario | Return | Probability |
| Boom | 20% | 20% |
| Good | 15% | 25% |
| Neutral | 10% | 40% |
| Recession | -20% | 15% |
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Contemporary Financial Management
Authors: James R Mcguigan, R Charles Moyer, William J Kretlow
10th Edition
978-0324289114, 0324289111
