Four analysts cover the stock of fluorine chemical. one forecasts a 6% return for the coming year. the second expects the return to be negative 6%. the third predicts a return of 8%. the fourth expects a 2% return in the coming year. you are relatively confident that the return will be positive but not large, so you arbitrarily assign probabilities of being correct of 35 % comma 8 %, 17 %, and 40%, respectively, to the analysts' forecasts. given these probabilities, what is fluorine chemicals expected return for the coming year

Expected return = 3.78%

Explanation:

Given:

Expected returns        Probabilities of being correct

 6%                                  35%

- 6%                                    8%

 8%                                   17%  

 2%                                   40%

Now,

Expected return is calculated as:

= Summation of [ Return × Probability ]

therefore,

Expected return

= ( 0.06 × 0.35 ) + ( -0.06 × 0.08 ) + ( 0.08 × 0.17 ) + ( 0.02 × 0.40 )

= 0.021 - 0.0048 + 0.0136 + 0.008

= 0.0378

or

= 0.0378 × 100%

or

Expected return = 3.78%

1) the stages a new product goes through from beginning to end, i.e., the stages that a product passes through from introduction through growth, maturity, and decline. 2) the time from initial research and development to the time at which sales and support of the product to customers are withdrawn. 3) the period of time during which a product can be produced and marketed profitably.

                                          hope it

answer; no individual buyer or seller has any significant impact on the market price;