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Consider the following returns and states of the economy for TZ . Com.: Economy Probability Return Weak 2 0 % - 4 % Normal 2

Consider the following returns and states of the economy for TZ.Com.:
Economy
Probability
Return
Weak
20%
-4%
Normal
20%
9%
Strong
60%
24%
What is the standard deviation of TZ's returns? SET YOUR CALCULATOR TO FOUR DECIMAL PLACES AND ROUND TO 2 DECIMAL PLACES AT THE END. DO NOT ENTER THE %. FOR EXAMPLE, IF YOUR ANSWER IS 7.7011% ENTER IT AS 7.70.
Twenty years ago, Jill won a state lottery that paid $50,000 at the end of each year for the first 10 years, and $70,000 at the end of years 11 through year 20. A financial advisor recommended that Jill put all the winnings in an account earning 12% per year. How much will Jill have in the account at the end of year 30 i.e.30 years from the day she won the lottery?

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