Compute the standard deviation given these four economic states, their likelihoods, and the potential returns:

Economic State Probability Return

Fast Growth 0.40 50%

Slow Growth 0.40 10%

Recession 0.10 10%

Depression 0.10 5%

• 6.71 percent
• 22.5 percent
• 23.37 percent
• 52.20 percent