Multiple Choice
Your investment has a 20% chance of earning a 30% rate of return, a 50% chance of earning a 10% rate of return, and a 30% chance of losing 6%. What is your expected return on this investment?
A) 12.8%
B) 11%
C) 8.9%
D) 9.2%
Correct Answer:

Verified
Correct Answer:
Verified
Related Questions
Q45: The formula <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB6474/.jpg" alt="The formula
Q46: The Manhawkin Fund has an expected return
Q47: If you require a real growth in
Q48: The CAL provided by combinations of 1-month
Q49: You are considering investing $1,000 in a
Q51: A loan for a new car costs
Q52: You have an EAR of 9%. The
Q53: Consider a Treasury bill with a rate
Q54: You invest $1,000 in a complete portfolio.
Q55: What is the geometric average return over