Assume that we wish to determine the expected value and standard deviation of returns of Assets A.   The expected returns of assets A and probabilty for each of the next 5 years are given in columns 1 and 2 respectively in the table. Find the expected value and standard deviation of returns for Asset A . Year Asset A Prob. 2019 18,00 0,25 2020 16,00 0,20 2021 13,00 0,15 2022 9,00 0,20 2023 11,00 0,20

Financial And Managerial Accounting
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Author:WARREN, Carl S.
Publisher:WARREN, Carl S.
Chapter26: Capital Investment Analysis
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Assume that we wish to determine the expected value and standard deviation of returns of Assets A.   The expected returns of assets A and probabilty for each of the next 5 years are given in columns 1 and 2 respectively in the table. Find the expected value and standard deviation of returns for Asset A .

Year

Asset A

Prob.

2019

18,00

0,25

2020

16,00

0,20

2021

13,00

0,15

2022

9,00

0,20

2023

11,00

0,20

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