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calculate the expected rate of return and standard deviation for each investment Seenario Recession Normal economy Beam Probability 0.20 Rate of Teturn Stock Bonds -73
calculate the expected rate of return and standard deviation for each investment
Seenario Recession Normal economy Beam Probability 0.20 Rate of Teturn Stock Bonds -73 205 221 113 33 78 0.60 0.20 a. Is it reasonable to assume that Treasury bonds will provide higher returns in recessions than in booms? No Yes b. Calculate the expected rate of return and standard deviation for each investment. (Do not round intermed your answers as a percent rounded to 1 decimal place.) Expected Rate of Return 9 % Standard Deviation % Stocks Bonds Prey 4 of 5 il Next >
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