Question
Consider the following information: Rate of Return If State Occurs State of Probability of Economy State of Economy Stock A Stock B Recession .19 .08
Consider the following information:
Rate of Return If State Occurs
State of Probability of Economy State of Economy Stock A Stock B Recession .19 .08 .19 Normal .56 .11 .10 Boom .25 .16 .27
Calculate the expected return for each stock. (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.)
Expected return Stock A % Stock B %
Calculate the standard deviation for each stock. (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.)
Standard deviation Stock A % Stock B %
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