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Consider the following information: Rate of Return If State Occurs State of Probability of Economy State of Economy Stock A Stock B Recession 0.16 0.04

Consider the following information:


Rate of Return If State Occurs
State of Probability of
Economy State of Economy Stock A Stock B
Recession 0.16 0.04 ? 0.20
Normal 0.61 0.08 0.09
Boom 0.23 0.15 0.26


Calculate the expected return for the two stocks. (Round your answers to 2 decimal places. (e.g., 32.16))


Expected return
Stock A %
Stock B %


Calculate the standard deviation for the two stocks. (Do not round intermediate calculations and round your final answers to 2 decimal places. (e.g., 32.16))


Standard deviation
Stock A %
Stock B %

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