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Quantitative Problem: You are given the following probability distribution for CHC Enterprises:

State of Economy:

Strong: probability (0.25)/ rate of return 22%

Normal: probability (0.5)/rate of return 9%

Weak: probability (0.25)/rate of return -4%

1. What is the stock's expected return? Round your answer to 2 decimal places. Do not round intermediate calculations.

2. What is the stock's standard deviation? Round your answer to two decimal places. Do not round intermediate calculations.

3. What is the stock's coefficient of variation? Round your answer to two decimal places. Do not round intermediate calculations.

Basic Finance, Finance

  • Category:- Basic Finance
  • Reference No.:- M93054615

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