Answered step by step
Verified Expert Solution
Question
1 Approved Answer
The market and Stock J have the following probability distributions: Probability r M r J 0.3 14 % 19 % 0.4 10 3 0.3 19
The market and Stock J have the following probability distributions:
Probability | rM | rJ | |||
0.3 | 14 | % | 19 | % | |
0.4 | 10 | 3 | |||
0.3 | 19 | 12 |
-
Calculate the expected rate of return for the market. Round your answer to two decimal places.
%
Calculate the expected rate of return for Stock J. Round your answer to two decimal places.
%
-
Calculate the standard deviation for the market. Do not round intermediate calculations. Round your answer to two decimal places.
%
Calculate the standard deviation for Stock J. Do not round intermediate calculations. Round your answer to two decimal places.
%
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started