Consider the following information: Rate of Return if State Occurs State of Economy Recession Normal Boom Probability of State of Economy 0.20 0.60 0.20 Stock A 0.03 0.08 0.14 Stock B -0.21 0.16 0.36 Required: (a) Calculate the expected return for Stock A. (Do not round your intermediate calculations.) (Click to select 8.53% 8.35% (b ected return for Stock B. (Do not round your intermediate 8.28% 8.61% 8.20% (c, dard deviation for Stock A. (Do not round your intermediate calculations.) Click to select) (d) Calculate the standard deviation for Stock B. (Do not round your intermediate calculations.) (Click to select) Consider the following information: Rate of Return if State Occurs State of Economy Recession Normal Boom Probability of State of Economy 0.20 0.60 0.20 Stock A 0.03 0.08 0.14 Stock B -0.21 0.16 0.36 Required: (a) Calculate the expected return for Stock A. (Do not round your intermediate calculations.) (Click to select) (b) Calculate the expected return for Stock B. (Do not round your intermediate calculations.) (Click to select) 11.97% (c dard deviation for Stock A. (Do not round your intermediate 13.10% 12.60% 10.33% 13.23% (d, dard deviation for Stock B. (Do not round your intermediate calculations.) (Click to select) Consider the following information Rate of Return if State Occurs State of Economy Recession Normal Boom Probability of State of Economy 0.20 0.60 0.20 Stock A 0.03 0.08 0.14 Stock B -0.21 0.16 0.36 Required: (a) Calculate the expected return for Stock A. (Do not round your intermediate calculations.) (Click to select) (b) Calculate the expected return for Stock B. (Do not round your intermediate calculations.) (Click to select) (c) Calculate the standard deviation for Stock A. (Do not round your intermediate calculations.) (Click to select 3.31% 3.66% (d dard deviation for Stock B. (Do not round your intermediate 3.63% 2.47% 3.49% Consider the following information: Rate of Return if State Occurs State of Economy Recession Normal Boom Probability of State of Economy 0.20 0.60 0.20 Stock A 0.03 0.08 0.14 Stock B -0.21 0.16 0.36 Required: (a) Calculate the expected return for Stock A. (Do not round your intermediate calculations.) (Click to select) (b) Calculate the expected return for Stock B. (Do not round your intermediate calculations.) (Click to select) (c) Calculate the standard deviation for Stock A. (Do not round your intermediate calculations.) (Click to select) (d) Calculate the standard deviation for Stock B. (Do not round your intermediate calculations.) Click to select 17.57% 18.50% 19.24% 19.42% 13.08%
