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(a) Compute the standard deviation of the expected return and the coefficient of variation given the economic states, their likelihoods, and the potential returns in

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(a) Compute the standard deviation of the expected return and the coefficient of variation given the economic states, their likelihoods, and the potential returns in the table below. Economic State Probability Return Fast Growth 0.5 25% Slow Growth 0.4 6% Recession -3% (8 marks) 8 x

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