You are considering buying a 100 shares of WalMart stock. In any given week, the stock can either increase in value by 4% or decrease in value by 2%. The probability that the stock increases is 0.6; otherwise, the stock decreases in price. How the stock performs in any given week is independent of how it has performed in the past. What is the expected return in a randomly chosen week? (please round your answer to 2 decimal places)

You are considering buying a 100 shares of WalMart stock. In any given week, the stock can either increase in value by 4% or decrease in value by 2%. The probability that the stock increases is 0.6; otherwise, the stock decreases in price. How the stock performs in any given week is independent of how it has performed in the past. What is the expected return in a randomly chosen week? (please round your answer to 2 decimal places)

Advanced Engineering Mathematics

10th Edition

ISBN:9780470458365

Author:Erwin Kreyszig

Publisher:Erwin Kreyszig

Chapter2: Second-order Linear Odes

Section: Chapter Questions

Problem 1RQ

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