A stock's returns have the following distribution:
Demand for the Company's Products |
Probability of This Demand Occurring |
Rate of Return If This Demand Occurs |
Weak | 0.1 | (28%) |
Below average | 0.3 | (9) |
Average | 0.3 | 12 |
Above average | 0.2 | 28 |
Strong | 0.1 | 67 |
1.0 |
a. Calculate the stock's expected return. Round your answer to
two decimal places.
b. Calculate the stock's standard deviation. Do not round
intermediate calculations. Round your answer to two decimal
places.
c. Calculate the stock's coefficient of variation. Round your answer to two decimal places.
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