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Consider the following information: Rate of Return if State Occurs Probability of State State of Economy of Economy Stock A Stock B Recession .19 10

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Consider the following information: Rate of Return if State Occurs Probability of State State of Economy of Economy Stock A Stock B Recession .19 10 -.14 Normal .60 13 15 Boom .21 .18 .32 a. Calculate the expected return for Stocks A and B. (Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) b. Calculate the standard deviation for Stocks A and B. (Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) a. Stock A expected return % a. Stock B expected return % b. Stock A standard deviation % b. Stock B standard deviation %

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