Consider the following information: |
State of Economy | Probability of State of Economy | Rate of Return if State Occurs |
Recession | 0.11 | -0.08 |
Normal | 0.45 | 0.14 |
Boom | 0.44 | 0.26 |
Required: |
Calculate the expected return. |
Expected return=Respective return*Respective probability
=(0.11*-8)+(0.45*14)+(0.44*26)
which is equal to
=16.86(or 0.1686)
Consider the following information: State of Economy Probability of State of Economy Rate of Return...
Consider the following information: State of Economy Probability of State of Economy Rate of Return if State Occurs Recession 0.21 -0.06 Normal 0.45 0.13 Boom 0.34 0.22 Required: Calculate the expected return.
Consider the following information: State of Economy Recession Normal Boom Probability of State of Economy 0.11 0.65 0.24 Rate of Return if State Occurs 0.01 0.13 0.26 Required: Calculate the expected return. ? 15.16% ? 14.58% ? 13.85% 0 2.53% ? 15.31% /O
Consider the following information: Rate of Return if State Occurs State of Economy Probability of State of Economy Stock A Stock B Recession 0.20 0.03 -0.19 Normal 0.70 0.08 0.15 Boom 0.10 0.12 0.31 Required: Given that the expected return for Stock B is 9.800%, calculate the standard deviation for Stock B. (Do not round your intermediate calculations.)
Consider the following information: Probability of State of Economy Rate of Return if State State of Economy Occurs Recession 0.11 -0.07 Normal 0.35 0.13 Вoom 0.54 0.31 Required: Calculate the expected return 21.55% 20.52% 2.47% 19.49% 21.34%
Consider the following information: State of Economy Recession Normal Boom Probability of State of Economy 0.21 0.45 0.34 Rate of Return if State Occurs -0.09 0.13 0.30 Required: Calculate the expected return. O 14.16% 2.27% 14.73% 14.87% O O 13.45%
Consider the following information: State of Probability of State Rate of Return Economy of Economy if State Occurs Recession -.10 Normal .12 Boom .31 Calculate the expected return. (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Expected return
Consider the following information: Probability of State of Rate of Return if State State of Economy Economy Occurs Recession .11 -.03 Normal .45 .12 Boom .44 .28 Calculate the expected return. Multiple Choice 18.09% 2.47% 16.52% 17.39% 18.26%
Consider the following information: State of Economy Probability of State of Economy Rate of Return if State Occurs Recession .17 –.12 Normal .48 .14 Boom .35 .33 Calculate the expected return. (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) expected return =
Consider the following information: State of Economy Probability of State of Economy Rate of Return if state occurs Recession .11 -0.06 Norma; .55 .14 Boom .34 .3 Calculate the expected return.
Consider the following information: Rate of Return if State Occurs 39 State of Economy Recession Normal Boom Probability of State of Economy 0.20 0.60 0.20 Stock A 0.05 0.09 0.14 Stock B -0.18 0.16 0.32 Required: Given that the expected return for Stock A is 9.200%, calculate the standard deviation for Stock A. (Do not round your intermediate calculations.) (Click to select)