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Consider the following scenario analysis: Rate of Return Scenario Probability Stocks Bonds Recession 0.30 5 % 18 % Normal economy 0.60 19 % 7 %

Consider the following scenario analysis:

Rate of Return
Scenario Probability Stocks Bonds
Recession 0.30 5 % 18 %
Normal economy 0.60 19 % 7 %
Boom 0.10 24 % 7 %

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.) I already got the answer for expected rate of return of stocks and bonds down below

Expected Rate of Return Standard Deviation
Stocks 12.3 % %
Bonds 10.3 % %

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