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A company faces the following probability distribution: State of the Economy Probability of this State Occurring Rate of Return if this State Occurs (pi)

A company faces the following probability distribution: State of the Economy Probability of this State Occurring Rate of Return if this State Occurs (pi) (ki) Boom 0.25 20% Normal 0.50 16% Recession 0.25 12% What is the standard deviation (STDEV) and the coefficient of variation (CV) on the company's stock?

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