(a) A stock has the following predicted returns under the following economic conditions:
Economic Condition Probability Return (K)
Recession 0.30 50
Stable economy 0.3 100
Moderate growth 0.3 120
Boom 0.10 200
compute the
(i) Expected monetary value.
(ii) Standard deviation.
(iii)Coefficient of variation.
(iv)Return-to-risk ratio.
(b) The following are the average daily wages in kwachas of a group of industrial workers and
price indices: