An investor holds two stocks, each of which can rise (r), remain unchanged (u), or decline (d) on any particular day. assume that for the first stock (on a particular day)

p(r) = 0.2 , p(u) = 0.6 , p(d ) = 0.2

and that for the second stock (on a particular day)

p(r) = 0.3 , p(u) = 0.4 , p(d ) = 0.3

assuming that these stocks move independently, find the probability that both stocks decline; the probability that exactly one stock rises; the probability that exactly one stock is unchanged; the probability that both stocks rise. (round your answers to 2 decimal places.)

both decline =

exactly one rises =

exactly one unchanged =

both rise =

Calculate the required rate of return for an asset that has a beta of 1.73, given a risk-free rate of 5.3% and a market return of 9.9%. b. if investors have become more risk-averse due to recent geopolitical events, and the market return rises to 12.7%, what is the required rate of return for the same asset?

Which is one solution to levy the complexity of the global matrix strategy with added customer-focused dimensions?

The following selected circumstances relate to pending lawsuits for erismus, inc. erismus’s fiscal year ends on december 31. financial statements are issued in march 2019. erismus prepares its financial statements according to u.s. gaap. required: indicate the amount erismus would record as an asset, liability, or not accrued in the following circumstances. 1. erismus is defending against a lawsuit. erismus's management believes the company has a slightly worse than 50/50 chance of eventually prevailing in court, and that if it loses, the judgment will be $1,000,000. 2. erismus is defending against a lawsuit. erismus's management believes it is probable that the company will lose in court. if it loses, management believes that damages could fall anywhere in the range of $2,000,000 to $4,000,000, with any damage in that range equally likely. 3. erismus is defending against a lawsuit. erismus's management believes it is probable that the company will lose in court. if it loses, management believes that damages will eventually be $5,000,000, with a present value of $3,500,000. 4. erismus is a plaintiff in a lawsuit. erismus's management believes it is probable that the company eventually will prevail in court, and that if it prevails, the judgment will be $1,000,000. 5. erismus is a plaintiff in a lawsuit. erismus’s management believes it is virtually certain that the company eventually will prevail in court, and that if it prevails, the judgment will be $500,000.