I believe ive gotten the first part correct, with A return being 11.45% and B...
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I believe ive gotten the first part correct, with A return being 11.45% and B return being 9.55%
Please show work so i can understand how to replicate in the future
Question 1 Stocks A and B have the following probability distributions of expected future returns: Probability A B 0.1 (5%) (1%) 0.2 8 3 0.35 12 7 0.25 15 18 0.1 24 21 a. Calculate the expected rate of return for Stocks A and B. | b. Calculate the standard deviation of expected returns A and B. c. Calculate the coefficient of variation of variations for stocks A and B. d. Is it possible that most investors will regard Stock B as being less risky than Stock A? Explain
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