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You are trying to make your best guess about next year's return on Snapchat's stock, using the following information that is available to you today:
You are trying to make your best guess about next year's return on Snapchat's stock, using the following information that is available to you today: - If Snapchat is very profitable, the return next year will be 20%. - If Snapchat does alright, the return next year will be 9%. - If Snapchat does somewhat below its recent annual average performance, the return next year will be 0%. - If Snapchat does poorly, the return next year will be 7%. - If Snapchat faces its worst case scenario, the return next year will be 20% - All of the above scenarios are equally likely. Calculate Snapchat's next year's expected return. If your answer is negative
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