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Consider the following information: Rate of Return if State Occurs State of Probability of State Economy of Economy Stock A Stock B Recession .15 .02
Consider the following information: |
Rate of Return if State Occurs | |||
State of | Probability of State | ||
Economy | of Economy | Stock A | Stock B |
Recession | .15 | .02 | .30 |
Normal | .50 | .10 | .18 |
Boom | .35 | .15 | .31 |
Calculate the expected return for the two stocks. (Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) |
Calculate the standard deviation for the two stocks. (Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) |
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