How many stocks do you expect to pass your screen

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Question - You are setting up a stock screen on the universe of securities in the Russell 3000 index, which contains the largest 3000 companies by market capitalization in the U.S.. You are using four selection criteria, which you think are approximately independent from one another. You have the following information on your screens:

Criterion Fraction of Russell 3000 stocks meeting criterion

P/E ratio 0.74

Interest coverage ratio 0.15

Book to market 0.32

ROE 0.26

Required - How many stocks do you expect to pass your screen?

Reference no: EM132832984

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