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It Costs $1,000 to Enter the Following Game of Chance,which

Question 30

Multiple Choice

It costs $1,000 to enter the following game of chance,which is based on the outcome of a coin toss (fair coin) .If the coin comes up 'heads' then you win and walk away with $1,100,which is a 10% rate of return.If the coin comes up 'tails',then you lose and walk away with $900,which is a -10% rate of return.What is the standard deviation of the returns?


A) 9%
B) 15%
C) 30%
D) 10%
E) 5%

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