chapter 10 question 9

Following are four economic states, their likelihoods, and the potential returns:

Economic State		Probability		Return
Fast growth		0.22		66	%
Slow growth		0.55		26
Recession		0.18		19
Depression		0.05		53

Compute the expected return and standard deviation. (Do not round intermediate calculations and round your answers to 2 decimal places.)

Expected return		%
Standard deviation		%