Consider the following information about Stocks I and II: State of Economy Recession Normal Irrational exuberance Rate of Return if State Occurs Probability of State of Economy Stock / Stock 11 .30 .05 -.30 45 .22 .10 25 .05 .50 The market risk premium is 6 percent, and the risk-free rate is 2 percent. (Do not round intermediate calculations. Enter your standard deviation answers as a percent rounded to 2 decimal places, e.g., 32.16. Round your beta answers to 2 decimal places, e.g., 32.16.) Answer is complete but not entirely correct. The standard deviation on Stock I's return is deviation on Stock Il's return is stock's systematic risk/beta, Stock 3.28 X percent, and the Stock I beta is 25.19 X percent, and the Stock Il beta is 0.59 X 1 is "riskier". 1.05 X The standard Therefore, based on the