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Consider the following table for Stocks A and B Economy Probability of Return Return on A Return on B Good 2 0 % 1 5
Consider the following table for Stocks A and B
Economy Probability of Return Return on A Return on B
Good
Normal
Bad
Calculate the following and show calculationscalculator keys
a Expected return, Standard Deviation, and Coefficient of Variation of Stock A
b Expected return, Standard Deviation, and Coefficient of Variation of Stock B
c Which stock is better A or B and why?
d Expected Return on Portfolio in stock A and in Stock B
e Standard Deviation of Portfolio in stock A and in Stock B
f Calculate Beta of stock A and Beta of stock B Assume that stock B is the market stock Show calculations for Covariance
plz no excel
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