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Consider the following information: State of Economy Probability of State of Economy Rate of Return if State Occurs Stock A Stock B Recession 0 .
Consider the following information:
State of Economy Probability of State of Economy Rate of Return if State Occurs
Stock A Stock B
Recession
Normal
Boom
Calculate the expected return for the two stocks.
Stock Return A:
Stock Return B:
Note: Do not round intermediate calculations. Enter your answers as a percent rounded to decimal places.
Calculate the standard deviation for the two stocks.
Standard Deviation A:
Standard Deviation B:
Note: Do not round your intermediate calculations. Enter your answers as a percent rounded to decimal places.
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