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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
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 0.09 0.14 Stock B -0.19 0.17 0.33 Required: (a) Calculate the expected return for Stock A. (Do not round your intermediate calculations.) 9.15% (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) A Calculate the standard deviation for Stock B. (Do not round your intermediate calculations.) ( (Click to select) )
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