Possible outcomes for three investment alternatives and their probabilities of occurrence are given next.Alternative 1Outcomes ProbabilityAlternative 3ProbabilityAcceptableSuccessful80135Altemative 1Altemative 2Altemative 3Using the coefficient of variation, rank the three alternatives in terms of risk from lowest to highest. (Do not round intermediatecalculations. Round your answers to 3 decimal places.)Alternative 2Outcomes Probability Outcomes7085130325265410Coefficient ofVariation

The coefficient of variation (CV) is a statistical measure used to measure the relative variability…

Possible outcomes for three investment alternatives and their probabilities of occurrence are given next. Alternative 1 Outcomes Probability 50 0.40 0.20 80 135 0.40 Failure Acceptable Successful Alternative 1 Alterative 2 Alternative 3 Using the coefficient of variation, rank the three alternatives in terms of risk from lowest to highest. (Do not round intermediate calculations. Round your answers to 3 decimal places.) Coefficient of Variation Alternative 2 Outcomes Probability 70 0.20 130 0.40 265 0.40 Rank Alternative 3 Outcomes Probability 85 0.40 325 0.40 410 0.20

Possible outcomes for three investment alternatives and their probabilities of occurrence are given next. Alternative 1 Outcomes Probability 50 0.40 0.20 80 135 0.40 Failure Acceptable Successful Alternative 1 Alterative 2 Alternative 3 Using the coefficient of variation, rank the three alternatives in terms of risk from lowest to highest. (Do not round intermediate calculations. Round your answers to 3 decimal places.) Coefficient of Variation Alternative 2 Outcomes Probability 70 0.20 130 0.40 265 0.40 Rank Alternative 3 Outcomes Probability 85 0.40 325 0.40 410 0.20

Financial Reporting, Financial Statement Analysis and Valuation

8th Edition

ISBN:9781285190907

Author:James M. Wahlen, Stephen P. Baginski, Mark Bradshaw

Publisher:James M. Wahlen, Stephen P. Baginski, Mark Bradshaw

Chapter11: Risk-adjusted Expected Rates Of Return And The Dividends Valuation Approach

Section: Chapter Questions

Problem 4QE

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Possible outcomes for three Investment alternatives and their probabilities of occurrence are given next. \table, Alternative 1, Alternative 2, Alternative 3], [Failure, Outcomes, Probability Outcomes, Probability, Outcomes, Probability], [Acceptable 80, 0.20, 80, 0.40,90, 0.30], [Successful, 70, 0.20, 170,0.40, 290, 0.50]] Using the coefficient of variation, rank the three alternatives in terms of risk from lowest to highest. Note: Do not round Intermeciate calculations. Round your answers to 3. decimal places, table[], \table[[Coefficient of], [Variation]], Rank], [Alternative 1... [Alternative 2,,], [Alternative 3..]]
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