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A Given the following probable states of the economy and the expected return on a security in each state: State of economy Recession Normal Boom

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A Given the following probable states of the economy and the expected return on a security in each state: State of economy Recession Normal Boom Probability 0.20 0.55 0.25 Return -1.5% 6% 8% i. What is the expected return on the security? What is the standard deviation on the security? Coefficient of variation (4 marks) (6 marks) (2 marks)

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