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( Expected rate of return and risk ) Carter Inc. is evaluating a security. Calculate the investment's expected return and its standard deviation. PROBABILITY RETURN

(Expected rate of return and risk) Carter Inc. is evaluating a security. Calculate the investment's expected return and its standard deviation.

PROBABILITY RETURN

0.05 6%

0.45 9%

0.45 12%

0.05 14%

a)The investment's expected rate of return is ___%

b) The investment's standard deviation is_____%

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