What is the expected return and standard deviation for the following stock?
A)15.49 percent; 14.28 percent
B)15.49 percent; 14.67 percent
C)17.00 percent; 15.24 percent
D)17.00 percent; 15.74 percent
E)17.00 percent'; 16.01 percent

Question

What is the expected return and standard deviation for the following stock? 
A)15.49 percent; 14.28 percent 
B)15.49 percent; 14.67 percent 
C)17.00 percent; 15.24 percent 
D)17.00 percent; 15.74 percent 
E)17.00 percent'; 16.01 percent

Quizplus · Accepted Answer

E(R) = 0.10(-0.19) + 0.60(0.14) + 0.30(0.35) = 17.00 percentF1F1F1S1F1F1F10² = 0.10(-0.19 - 0.17)² + 0.60(0.14 - 0.17)² + 0.30(0.35 - 0.17)² = 0.02322F1F1F1S1F1F1F10 = F1F1F1S1F1F1F100.02322 = 15.24 percent

What Is the Expected Return and Standard Deviation for the Following