FREE Trial
Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

You estimate that Tesla stock has a 30% probability of losing 20% next year, a 40% probability of losing 30% next year, but a 30%

image text in transcribed
You estimate that Tesla stock has a 30% probability of losing 20% next year, a 40% probability of losing 30% next year, but a 30% probability of gaining 180%. What is your estimate of the standard deviation of Tesla's stock's return? 94.36% 70.82% 168.06% O 36,00%

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Public Finance

Public Finance

Authors: Harvey S Rosen, Ted Gayer

9th International Edition

0071267883, 9780071267885

More Books

Students also viewed these Finance questions

Question

★★★★★
A molecule has a 5.0% chance of binding to an enzyme each second and remains permanently attached thereafter. If the molecule starts out unbound, find the probability that it is bound after 10...

Answered: 1 week ago

Question

★★★★★
Twenty-two percent of former smokers say they tried to quit four or more times before they were habit-free. You randomly select 10 former smokers. Find the probability that the first person who tried...

Answered: 1 week ago

Question

★★★★★
=+c) Given the small P-value associated with the gender and that the mean annual bonus percent for females is 12.5% compared to 14.5% for males, HR concludes that gender discrimination exists. Do you...

Answered: 1 week ago

Question

★★★★★
Flanders, Inc., has a $700,000, 8 percent bond issue that was issued a number of years ago at face value. There are now 10 years left on the bond issue, and the market interest rate is 16 percent....

Answered: 1 week ago

Question

★★★★★
if equity is $350,000 and liabilities are 196,000, then assets equal

Answered: 1 week ago

Question

★★★★★
Zoom Video Communications, Inc. had the following transactions in February 2032: Issued 2,160,000 shares of common stock for $2,160 per share. Purchased equipment for $880,000,000, paying...

Answered: 1 week ago

Question

★★★★★
Blue Caf makes and sells a variety of iced coffee. The main ingredients consist of ground coffee, milk and sugar. The company has a standard costing and variance system in place to control the...

Answered: 1 week ago

Question

★★★★★
Exercise 2 Several years ago, ballots in Champaign-Urbana contained the following question to assess public opinion on an issue: \"Should the State of Illinois legalize and regulate the sale and use...

Answered: 1 week ago

Question

★★★★★
Next Generation Ltd Trial balance on 31 December 2019 Debit Credit Share capital 570,000 Property, plant, and equipment 2,100,000 Bank 195,000 Revenue 480,000 Rental income 35,000 Cost of sales...

Answered: 1 week ago

Question

★★★★★
Perform the following steps with pen and paper - you should not write code for these steps: Write down your PI (personal identifier). Your PI will be different from your OUCU, but like your OUCU it...

Answered: 1 week ago

Question

★★★★★
What are the three private IP ranges? What are some scenarios where private IP addresses can be used? Briefly compare and contrast Static NAT, Dynamic NAT, and PAT. Using the drawing, how would you...

Answered: 1 week ago

Question

★★★★★
9. What is meant by the statement, the context is only relevant to us if we understand what it is trying to say?

Answered: 1 week ago

Question

★★★★★
7. What does it mean when we say that the words we use to denote a situation set limits on the solutions we can create at a later point?

Answered: 1 week ago

Question

★★★★★
8. Give examples from your own everyday life that the reference point you use has significance for the actions you take.

Answered: 1 week ago

Previous Question Next Question