What return will the investment produce


Question:

The expected return for an investment is 30%. If we know the following information about the return distribution of the investment, what return will the investment produce if the economic climate is average?

Climate    Return    Probability

Poor              20% 0.30
Average                0.50
Exceptional    40% 0.20

Solution Preview :

Prepared by a verified Expert
Finance Basics: What return will the investment produce
Reference No:- TGS02074397

Now Priced at $20 (50% Discount)

Recommended (95%)

Rated (4.7/5)