8. An analyst estimates that the stock market index, the Bank of America (BOA) stock, and the Citigroup (CITI) stock have the following probabilities of return depending on the state of the economy. The risk-free rate is 5%. State of the Economy Good Bad Probability 0.7 0.3 Return CITI 12% -2% Return BOA 18% 8% 1) For Stock CITI, what is the expected return? What is the standard deviation of return? (7 points)