Investment probability….round 2 decimal

female studied emerging markets and thinks both will be influenced by us economy…18% chance for being good, 55% being fair, 27% being poor.

state of the us economy

good fair poor

returns in europe

19% 9% -8%

returns in asia

16% 6% -7%

a. find expected value and standard deviation of europe/asia returns

b. what will the female pick as an investment if she is risk neutral

asia investment or europe investment

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