(Expected rate of return and risk)

B. J. Gautney Enterprises is evaluating a security. One-year Treasury bills are currently paying 4.4 percent. Calculate the investment's expected return and its standard deviation. Should Gautney invest in this security?

\begin{tabular}{lr} Probability & Return \\ \hline 0.20 & 4% \\ 0.40 & 4% \\ 0.20 & 6% \\ 0.20 & 8% \\ \hline \end{tabular}