$($Expected rate of return and risk$)$ Syntex, Inc. is considering an investment in one of

two common stocks. Given the information that follows, which investment is better, based

on the risk $($as measured by the standard deviation$)$ and return?

$($Click on the icon D in order to copy its contents into a spreadsheet.$)$

a$.$ Given the information in the table, the expected rate of return for stock $A$ is

to two decimal places.$)$

The standard deviation of stock $A$ is $\%.($Round to two decimal places.$)$

b$.$ The expected rate of return for stock $B$ is

$\%.($Round to two decimal places.$)$

The standard deviation for stock B is

$\%.($Round to two decimal places.$)$

c$.$ Based on the risk $($as measured by the standard deviation$)$ and return of each stock,

which investment is better? $($Select the best choice below.$)$

A$.$ Stock $A$ is better because it has a higher expected rate of return with less risk.

B$.$ Stock $B$ is better because it has a lower expected rate of return with more risk.