Calculate the expected rate of return and standard deviation

Reference no: EM13280280

Escapists Films Corp. sells home videos. In a boom economy its rate of return is negative 28% in a normal economy it rate of return is 8% and in a recession its rate of return is 48% All three possible states of the economy are equally likey. Calculate the expected rate of return and standard deviation of Escapist?

Reference no: EM13280280

Questions Cloud

At what height was the basketball dropped : A basketball (m = 0.60 kg) is dropped from rest. Just before striking the floor, At what height was the basketball dropped

Find the magnitude of the impulse applied to the golf ball : A golf ball strikes a hard, smooth floor at an angle of 32.5 ° and rebounds at the same angle, What is the magnitude of the impulse applied to the golf ball by the floor

Explain reaction has an arrhenius constant for the reaction : A first order reaction has an Arrhenius constant for the reaction is 3.2 x 1010 sec -1, and an activation energy of 65.1 kJ. At what temperature (in Celsius) is the rate constant equal to 0.479 sec-1

Real-life proxy encounter with the complexity of medicare : Purpose of assignment is to have a real-life proxy encounter with the complexity of Medicare -

Calculate the expected rate of return and standard deviation : Calculate the expected rate of return and standard deviation of Escapist?

Find logic ckt to form part of automobile safety arrangement : Design a logic circuit to form part of automobile safety arrangement, providing a warning light, consisting of an LED, if (a) whenever the door is open or (b) when the seat belt is not buckled and the key is in the ignition.

Calculate the bond current price : A $1,000 corporate bond has an 8% annual coupon with semi-annual payments and compounding, with 10 years to maturity. The current market for a similar bond is 7% annual yield for a bond with similar risks.

Find which bucket holds more water : While on a camping trip, you would like to carry water from the lake to your campsite. find Which bucket holds more water

Which security has a higher effective annual interest rate : Which security has a higher effective annual interest rate?

User Account

All Pages