The formula for expected return (E(R)) is E(R) = Σ (Pi × Ri), where Pi is the probability of outcome i and Ri is the return of outcome i.

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 (1)

• expected return concept