The expected return of an investment is calculated as the weighted average of all possible outcomes, where each outcome is multiplied by its probability of occurrence.

Authors

• Person: Not available Organization: Pressbooks
  Chapter 8 – Risk and Return – Fundamentals of Finance

Sources

• Chapter 8 – Risk and Return – Fundamentals of Finance pressbooks.pub Pressbooks via serper

Referenced by nodes (2)

• investment concept
• expected return concept