Calculate the expected rat of return for the market


The market and Stock J have the following probability distributions:

Probability rM r3
0.3 15% 19%
0.4 8 4
0.3 20 11

a) calculate the expected rat of return for the market. round to two decimal places.____________%

calculate the expected rate of return for Stock J. round to two decimal places.___________%

b) calculate the standard deviation for the market. round to two decimal places.____________%

calculate the standard deviation for the market. round to two decimal places.____________%

c) calculate the coefficient of variation for the market. round to two decimal places.______________%

calculate the coefficient of variation for Stock J. round to two decimal places.___________%

 

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Finance Basics: Calculate the expected rat of return for the market
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