Ans a  Expected Return is 15.40%
Demand of Product  Probability  Rate of Returns  Probability * Returns 
Weak  0.2  22%  4.40% 
Below Average  0.1  10%  1.00% 
Average  0.4  13%  5.20% 
Above Average  0.1  40%  4.00% 
Strong  0.2  58%  11.60% 
Expected Return  15.40% 
Ans b  Standard Deviation 27.75
Demand of Product  Probability  Rate of Returns  Probability * Returns 



Weak  0.2  22  4.4  37.4  279.752  
Below Average  0.1  10  1  25.4  64.516  
Average  0.4  13  5.2  2.4  2.304  
Above Average  0.1  40  4  24.6  60.516  
Strong  0.2  58  11.6  42.6  362.952  
Expected Return  15.4  770.04  
Variance  770.04  
SD  27.75 
SD is squire root of variance.
Ans  3 Coefficient of variance is SD / Mean
= 27.75 / 15.40 = 1.80
Hope this helps.
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