Esellance, a sale training company manager, believes that the economic state for the next year will be strong, normal, or weak and that the company’s returns will have the probability distribution presented below: State of economy. Probability of the state of economy. Rate of return Strong. 0,50 45% Normal 0,40 15% Weak 0,10 5% What is the coefficient of variation of the estimated returns? 1. 0,560 2. 0,584 3. 0,600 4. 0,620
Question 3
Esellance, a sale training company manager, believes that the economic state for the next year will be strong, normal, or weak and that the company’s returns will have the probability distribution presented below:
State of economy. Probability of the state of economy.
Strong. 0,50 45%
Normal 0,40 15%
Weak 0,10 5%
What is the coefficient of variation of the estimated returns?
1. 0,560
2. 0,584
3. 0,600
4. 0,620
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