Top Posters
Since Sunday
5
a
5
k
5
c
5
B
5
l
5
C
4
s
4
a
4
t
4
i
4
r
4
New Topic  
bigexternal bigexternal
wrote...
Posts: 1279
Rep: 2 0
7 years ago
The Table below presents returns across three states of nature for two assets: Risky and Safe. The standard deviation of Safe is 3.2%. What is the difference between the standard deviation of Risky and Safe? (Risky - Safe)

State of Nature   Probability   Return to Risky Investment   Return to Safe Investment
Recession   0.2   -5%   14%
Normal   0.6   15%   8%
Boom   0.2   25%   4%

A) 3.6%
B) 4.6%
C) 5.6%
D) 6.6%
E) 7.6%
Textbook 
Corporate Finance Online

Corporate Finance Online


Edition: 1st
Authors:
Read 227 times
2 Replies
We're using: Corporate Finance Online (Eakins, McNally)
Replies
Answer verified by a subject expert
BlimpBlimp
wrote...
Posts: 499
7 years ago
Sign in or Sign up in seconds to unlock everything for free
More solutions for this book are available here
1
Pol. Sci. Major
Minoring in Business
Columbia University Sophomore

Related Topics

bigexternal Author
wrote...
7 years ago
Firstly, thank you for responding
Secondly, ur right!
We're using: Corporate Finance Online (Eakins, McNally)
New Topic      
Explore
Post your homework questions and get free online help from our incredible volunteers
  1323 People Browsing
Related Images
  
 1172
  
 428
  
 854
Your Opinion
Who's your favorite biologist?
Votes: 586