Consider the following information:

		Rate of Return if State Occurs
State of Economy	Probability of State of Economy	Stock A	Stock B
Recession	.25	.03	.11
Normal	.30	.10	.17
Boom	.45	.12	.37

a. Calculate the expected return for the two stocks

Expected return for A		%
Expected return for B		%

Calculate the standard deviation for the two stocks.

Standard deviation for A		%
Standard deviation for B		%