Question
What is the standard deviation of a security which has the following expected returns? State of the Economy Probability of State of Economy Rate of
What is the standard deviation of a security which has the following expected returns?
| State of the Economy | Probability of State of Economy | Rate of Return if State Occurs | |
| Boom | 0.10 | 19 | % |
| Normal | 0.75 | 13 | % |
| Recession | 0.15 | -7 | % |
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Accounting Information For Business Decisions
Authors: Billie Cunningham, Loren A. Nikolai, John Bazley, Marie Kavanagh, Geoff Slaughter, Sharelle Simmons
2nd Edition
0170253708, 978-0170253703
