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Consider the following scenario analysis Rate of Return Bonds 20% Scenario Recession Normal economy Boom Probability Stocks .20 50 30 -9% 21 31 a. Is

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Consider the following scenario analysis Rate of Return Bonds 20% Scenario Recession Normal economy Boom Probability Stocks .20 50 30 -9% 21 31 a. Is it reasonable to assume that Treasury bonds will provide higher returns in recessions than in booms? O Yes 0 b. Calculate the expected rate of return and standard deviation for each investment. (Do not round intermediate calculations. Enter your answers as a percent rounded to 1 decimal place.) Expected Rate of Return Standard Deviation Stocks Bonds

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