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1. Calculate the expected return for Stock A. 2. Calculate the expected return for Stock B. 3. Calculate the standard deviation of Stock A. 4.

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1. Calculate the expected return for Stock A.

2. Calculate the expected return for Stock B.

3. Calculate the standard deviation of Stock A.

4. Calculate the standard deviation for Stock B.

Consider the following information: Rate of Return if State Occurs State of Economy Recession Normal Boom Probability of State of Economy .20 .70 .10 Stock A .06 .09 .15 Stock B -.17 .14 .33

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