You are thinking of acquiring some shares of ABC Ltd. The rates of return expectations are as follows:
|
Possible rate of return |
Probability |
|
0.05 0.10 0.08 0.11 |
0.20 0.40 0.10 0.30 |
Compute the expected return E(R) on the investment.
You are thinking of acquiring some shares of ABC Ltd. The rates of return expectations are as follows:
|
Possible rate of return |
Probability |
|
0.05 0.10 0.08 0.11 |
0.20 0.40 0.10 0.30 |
Compute the expected return E(R) on the investment.
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