Consider the following information about Stocks I and II:

Rate of Return If State Occurs

State of Economy Probability of State of Economy Stock I Stock II

Recession $0\mathrm{.}150\mathrm{.}020\mathrm{.}25$

Normal $0\mathrm{.}700\mathrm{.}210\mathrm{.}09$

Irrational exuberance $0\mathrm{.}150\mathrm{.}060\mathrm{.}44$

The market risk premium is $7\%,$ and the risk$-$free rate is $4\%.($Do not round intermediate calculations. Round the final answers to $2$ decimal places.$)$

The standard deviation on Stock I$\text{'}$s return is

$\%,$ and the Stock I beta is

$.$ The standard deviation on Stock II's return is

$\%,$ and the Stock II beta is

$.$ Therefore, based on the stock's systematic risk $/$ beta, Stock

I

is "riskier".