Question
What is the approximate expected coefficient of variation of returns for a projected one-year project that has 50%-50% probabilities to give a 30% return as
What is the approximate expected coefficient of variation of returns for a projected one-year project that has 50%-50% probabilities to give a 30% return as it has to provide a 10% loss (-10%)?
A) 2.82
B) 0.50
C) 0.71
D) 1.00
E) 2.00
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International financial management
Authors: Jeff Madura
9th Edition
978-0324593495, 324568207, 324568193, 032459349X, 9780324568202, 9780324568196, 978-0324593471
