You invested in GM company, that operates in the aviation
sector, in which you have invested.
State of the economy Probability Expected
Return:
Bear:
Probability: 30%
Expected Return: -18%
Normal:
Probability: 50%
Expected Return: +6%
Bull:
Probability: 20%
Expected Return: +28%
a) Calculate the expected return and the standard deviation of
GM's return.
You invested in GM company, that operates in the aviation sector, in which you have invested. State of the economy Proba
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