Expected Return: Discrete Distribution A stock's return has the following distribution: Demand...
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Expected Return: Discrete Distribution
A stock's return has the following distribution:
| Demand for the Company's Products | Probability of This Demand Occurring | Rate of Return if This Demand Occurs (%) | |||
| Weak | 0.1 | -30 | % | ||
| Below average | 0.2 | -10 | |||
| Average | 0.4 | 8 | |||
| Above average | 0.2 | 20 | |||
| Strong | 0.1 | 70 | |||
| 1.0 | |||||
Calculate the stock's expected return. Round your answer to two decimal places.
______ %
Calculate the standard deviation. Do not round intermediate calculations. Round your answer to two decimal places.
______%
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