Calculate the stock expected return


Problem:

A sot's return has the following distribution:

Demand for the Probability of this    Rate of Return
Company's Products    Demand Occurring    if This Demand Occurs

Weak                    0.1    (50%)

Below average       0.2     (5)

Average                0.4     16

Above average      0.2     25

Strong                  0.1     60

                           1.0

Calculate the stock's expected return, standard deviation and coefficient of variation.

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Finance Basics: Calculate the stock expected return
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