Macintosh Lumber Believes the Following Probability Distribution Exists for Its

Macintosh Lumber believes the following probability distribution exists for its stock. What is the coefficient of variation on the company's stock?
$\begin{array}{lcc}\text { State of } & \begin{array}{c}\text { Probability } \\\text { of State }\end{array} & \begin{array}{c}\text { Stock's } \\\text { Expected }\end{array} \\\text { the Economy } &\text { Occurring } &\text { Return }\\\text { Boom } & 0.45 & 25 \% \\\text { Normal } & 0.50 & 15 \% \\\text { Repeseion }& 0.05 & 5 \%\end{array}$

A) 0.2839
B) 0.3069
C) 0.3299
D) 0.3547
E) 0.3813

Correct Answer:

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