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Consider the following returns and states of the economy for TZ . Com.: Economy Probability Return Weak 2 0 % 1 % Normal 2 0

Consider the following returns and states of the economy for TZ

.

Com.:

Economy

Probability

Return

Weak

20 %

1 %

Normal

20 %

7 %

Strong

60 %

13 %

What is the standard deviation of TZ

'

s returns?

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