Homework #5D (Expected return and Standard deviation on stock using probabilities) 1 and 2
Homework #5D (Expected return and Standard deviation on stock using probabilities)FinanceQuestion 1 Calculate the expected return on stock of Gamma Inc.:State of the economyProbability of the statesPercentage returnsEconomic recession24%-8.6%Steady economic growth 30%3.4%BoomPlease calculate it8.0%Round the answers to two decimal places in percentage form. (Write the percentage sign in the “units” box)Your Answer:Question 1 options:Question 2 Calculate the expected standard deviation on stock:State of the economyProbability of the statesPercentage returnsEconomic recession 20%-5% Steady economic growth28%8%BoomPlease calculate it12%Round the answers to two decimal places in percentage form. (Write the percentage sign in the “units” box)Your Answer: