What Is the Variance of the Expected Returns on This

question 43

Multiple Choice

What is the variance of the expected returns on this stock?
$$\begin{array} { l c c } \text { State of the Economy } & \text { Erobability } & E ( R ) \\\text { Eoom } & .70 & 24\% \\\text { Recegaion } & .30 & 6\%\end{array}$$

• A)48.75%
• B)52.75%
• C)61.53%
• D)68.04%
• E)70.03%

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Definitions:

Midpoint

The value exactly in the middle of a range, or the average of two numbers.

Hours Worked

The total time period that an employee spends performing tasks or duties for an employer during a given timeframe.

Statistics Students

Individuals who are engaged in learning about statistical methods, theories, and applications, often with the goal of applying this knowledge in various scientific, industrial, or social contexts.

Relative Frequency

A measure of the proportion of all observations within a dataset that fall within a particular category or range of values.