You have been given this probability distribution for the holding-period return for a stock: What is the expected variance for the stock
A)142.07%
B)189.96%
C)177.04%
D)128.17%
E)None of the options

Name: You have been given this probability distribution for the holding-period return for a stock: What is the expected variance for the stock A)142.07% B)189.96% C)177.04% D)128.17% E)None of the options
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Question

You have been given this probability distribution for the holding-period return for a stock:  What is the expected variance for the stock
A)142.07% 
B)189.96% 
C)177.04% 
D)128.17% 
E)None of the options

Quizplus · Accepted Answer

Variance = [.40 (22 - 10.4)² + .35 (11 - 10.4)² + .25 (-9 - 10.4)²] = 148.04%.

You Have Been Given This Probability Distribution for the Holding-Period