Question
Consider the following information: Rate of Return If State OccursState ofProbability ofEconomyState of EconomyStock AStock BRecession.19.08.19Normal.56.11.10Boom.25.16.27 Calculate the expected return for each stock. (Do not
Consider the following information:
Rate of Return If State OccursState ofProbability ofEconomyState of EconomyStock AStock BRecession.19.08.19Normal.56.11.10Boom.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 returnStock A%Stock B%
Calculate the standard deviation for each stock.(Do not round intermediate calculations. Enter your answers as a percentrounded to 2 decimal places, e.g., 32.16.)
Standard deviationStock A%Stock B%
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