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Consider the following information: Rate of Return if State Occurs Probability of State of Economy Recession State of Normal Boom Economy Stock A Stock

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Consider the following information: Rate of Return if State Occurs Probability of State of Economy Recession State of Normal Boom Economy Stock A Stock B .35 .07 -.17 .40 .09 .16 .25 .13 .36 a. Calculate the expected return for the two stocks. (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.) Expected return for A Expected return for B % % b. Calculate the standard deviation for the two stocks. (Do not round your intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.) Standard deviation for A % Standard deviation for B %

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