What is the expected return of stock a what is the variance


There are three possible states of the economy: good, normal, and bad. The probability of good economy is 25%, the probability of normal economy is 50%, and the probability of bad economy is 25%. The return of stock A is 22% in the good economy, 8% in the normal economy, and -10% in the bad economy. What is the expected return of stock A? What is the variance of stock A's return?

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Financial Management: What is the expected return of stock a what is the variance
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