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7. Calculating Returns and Standard Deviations [LO1] Based on the following infor- mation, calculate the expected return and standard deviation for Stock A and Stock

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7. Calculating Returns and Standard Deviations [LO1] Based on the following infor- mation, calculate the expected return and standard deviation for Stock A and Stock B: Probability of Star State of Economy State of Economy Recession Normal Boom Rate of Return if State Occurs Stock A Stock B -.17 .12 .04 .60 .30 27

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