You are given the following probability distribution of returns for a stock. Use the data to calculate the expected return, standard deviation of returns and coefficient of variation of returns for the stock.
$$\begin{array} { r c }
\text { Return } & \text { Probability } \
8.0 \% & 0.20 \
10.0 \% & 0.10 \
12.0 \% & 0.40 \
15.0 \% & 0.20 \
16.0 \% & 0.10
\end{array}$$

Question

You are given the following probability distribution of returns for a stock. Use the data to calculate the expected return, standard deviation of returns and coefficient of variation of returns for the stock.
 $$\begin{array} { r c } 
\text { Return } & \text { Probability } \
8.0 \% & 0.20 \
10.0 \% & 0.10 \
12.0 \% & 0.40 \
15.0 \% & 0.20 \
16.0 \% & 0.10
\end{array}$$

Quizplus · Accepted Answer

The Answer of You are given the following probability distribution of returns for a stock. Use the data to calculate the expected return, standard deviation of returns and coefficient of variation of returns for the stock.
 $$\begin{array} { r c } 
\text { Return } & \text { Probability } \
8.0 \% & 0.20 \
10.0 \% & 0.10 \
12.0 \% & 0.40 \
15.0 \% & 0.20 \
16.0 \% & 0.10
\end{array}$$

You Are Given the Following Probability Distribution of Returns for a Stock