In: Finance
Summerville Inc. is considering an investment in one of two common stocks. Given the information in the popup window: , which investment is better, based on the risk (as measured by the standard deviation) and return of each? a. The expected rate of return for Stock A is nothing %. (Round to two decimal places)
COMMON STOCK A COMMON STOCK B PROBABILITY RETURN PROBABILITY RETURN 0.20 12% 0.20 -6% 0.60 15% 0.30 7% 0.20 18% 0.30 15% 0.20 20%
Calculations-
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