The Sharpe ratio compares the asset's realized excess return to its Select over a specified...
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Finance
The Sharpe ratio compares the asset's realized excess return to its Select over a specified period. Excess returns measure the amount that investment returns are above the risk-free rate - so investments with returns equal to the risk-free rate will have a Select S harpe ratio. It follows that over a given time period, investments with Select Sharpe ratios performed better, because they generated higher Select excess returns per unit of risk. The Sharpe ratio is calculated as: Sharpe ratio (Return-Risk-free rate) Quantitative Problem: You are given the following probability distribution for CHC Enterprises State of Economy Probability Rate of return 20% Strong Normal Week 0.20 0.50 0.30 -0% What is the stock's expected return? Do not found intermediate calculations. Round your awer to two decal places What is the stock's standard deviation? Do not found intermediate calculations. Round your answer to two decimal places What is the stock's coefficient of variation? Do not round intermediate calculations. Round your answer to two decimal places The Sharpe ratio compares the asset's realized excess return to its Select over a specified period. Excess returns measure the amount that investment returns are above the risk-free rate - so investments with returns equal to the risk-free rate will have a Select S harpe ratio. It follows that over a given time period, investments with Select Sharpe ratios performed better, because they generated higher Select excess returns per unit of risk. The Sharpe ratio is calculated as: Sharpe ratio (Return-Risk-free rate) Quantitative Problem: You are given the following probability distribution for CHC Enterprises State of Economy Probability Rate of return 20% Strong Normal Week 0.20 0.50 0.30 -0% What is the stock's expected return? Do not found intermediate calculations. Round your awer to two decal places What is the stock's standard deviation? Do not found intermediate calculations. Round your answer to two decimal places What is the stock's coefficient of variation? Do not round intermediate calculations. Round your answer to two decimal places

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