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Consider the following information: Rate of Return If State Occurs State of Probability of Economy State of Economy Recession .17 Normal .62 Boom .21 Stock

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Consider the following information: Rate of Return If State Occurs State of Probability of Economy State of Economy Recession .17 Normal .62 Boom .21 Stock A .05 .09 .16 Stock B -.21 .08 .25 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 Stock B expected return b. Stock A standard deviation Stock B standard deviation % % % %

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