Westonci.ca offers quick and accurate answers to your questions. Join our community and get the insights you need today. Explore our Q&A platform to find reliable answers from a wide range of experts in different fields. Experience the convenience of finding accurate answers to your questions from knowledgeable experts on our platform.
Sagot :
Answer: $8.50
Step-by-step explanation:
The expected gain (loss) is a weighted average of the probability of the different gains (losses) and the gains or losses.
Expected gain or loss for stock JKL:
= (Probability of losing $25 * -25) + ( Probability of gaining $5 * 5) + ( Probability of gaining $45 * 45)
= (15% * -25) + (65% * 5) + (20% * 45)
= -3.75 + 3.25 + 9
= $8.50
We appreciate your time. Please come back anytime for the latest information and answers to your questions. We hope our answers were useful. Return anytime for more information and answers to any other questions you have. Thank you for choosing Westonci.ca as your information source. We look forward to your next visit.