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Consider the following information Rate of Return if State Occurs Probability of State of Economy Stock A 020 100 160 Stock B Recession Normal Boom
Consider the following information Rate of Return if State Occurs Probability of State of Economy Stock A 020 100 160 Stock B Recession Normal Boom -27 57 21 17 40 a. 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.) return E(RA) E(RB) b. 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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