Perth Industries is studying an asset. The probability distribution of returns for this asset is shown in the following
Posted: Sun May 29, 2022 5:06 pm
Perth Industries is studying an asset. The probability
distribution of returns for this asset is shown in the
following table,
1 0.10 20.00
2 0.25 15.00
3 0.40 5.00
4 0.05 0.00
5 0.20 -5.00
.
a. Calculate the expected value of return,r,
for the asset.
b. Calculate the standard deviation,σr,for
the asset's returns.
c. Calculate the coefficient of variation,
CV,
for the asset's returns.
distribution of returns for this asset is shown in the
following table,
1 0.10 20.00
2 0.25 15.00
3 0.40 5.00
4 0.05 0.00
5 0.20 -5.00
.
a. Calculate the expected value of return,r,
for the asset.
b. Calculate the standard deviation,σr,for
the asset's returns.
c. Calculate the coefficient of variation,
CV,
for the asset's returns.