An Investor Has Purchased an Auto Stock

question 104

Multiple Choice

An investor has purchased an auto stock. It is expected that during a good economy, the stock will provide a 12% return, while in a poor economy the stock will provide an -4% return. The probability
Of a good economy is expected to be 70%. Given this information, calculate the standard deviation
For this stock.

• A) 4.63%
• B) 5.53%
• C) 6.43%
• D) 7.33%
• E) 8.23%

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Definitions:

Excretion

The process of eliminating or expelling waste matter from the body as part of the function of the kidneys, liver, lungs, and skin.

Renal Disease

A medical condition involving the kidneys, characterized by the inability to properly filter blood and remove waste and fluids from the body.

Absorbed Quickly

Rapid uptake of substances by the body, often referring to the efficiency of drug absorption.

Empty Stomach

A state where the stomach is devoid of any food intake for a period, often required before certain medical procedures or tests.