Question
The market and Stock J have the following probability distributions: Probability r M r J 0.3 14.00% 18.00% 0.4 10.00 6.00 0.3 19.00 11.00 Calculate
The market and Stock J have the following probability distributions:
| Probability | rM | rJ |
| 0.3 | 14.00% | 18.00% |
| 0.4 | 10.00 | 6.00 |
| 0.3 | 19.00 | 11.00 |
Calculate the expected rate of return for the market. Do not round intermediate calculations. Round your answer to two decimal places.%
Calculate the expected rate of return for Stock J. Do not round intermediate calculations. 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. %
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Fundamentals of Financial Management
Authors: Eugene F. Brigham, ‎ Joel F. Houston
11th edition
324422870, 324422873, 978-0324302691
