$15.$ Consider the following information on Stocks I and II:

State of Economy Probability of State of Economy Rate of Return if State Occurs

Stock I Stock II

Recession $\mathrm{.}21\mathrm{.}015\mathrm{.}31$

Normal $\mathrm{.}56\mathrm{.}325\mathrm{.}23$

Irrational exuberance $\mathrm{.}23\mathrm{.}185\mathrm{.}41$

The market risk premium is $11\mathrm{.}1$ percent, and the risk$-$free rate is $4\mathrm{.}1$ percent.

a$.$ Calculate the beta and standard deviation of Stock I.

b$.$ Calculate the beta and standard deviation of Stock II$.$

c$.$ Which stock has the most systematic risk?

d$.$ Which one has the most unsystematic risk?

e$.$ Which stock is $$riskier$?$