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A stock will provide a rate of return of either-26% or 39%. a. If both possibilities are equally likely, calculate the stock's expected return and
A stock will provide a rate of return of either-26% or 39%. a. If both possibilities are equally likely, calculate the stock's expected return and standard deviation. (Do Enter your answers as a percent rounded to1 place.) Expected return Standard deviation b. If Treasury bills yield 6.5% and investors believe that the stock offers a satisfactory expected return what must the market risk of the stock be? (Enter your answer as a whole percent.) Market risk
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