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Following are four economic states, their likelihoods, and the potential returns: Economic State Probability Return Fast growth 0.26 63 % Slow growth 0.44 20 Recession
Following are four economic states, their likelihoods, and the potential returns: |
Economic State | Probability | Return | |||
Fast growth | 0.26 | 63 | % | ||
Slow growth | 0.44 | 20 | |||
Recession | 0.20 | 19 | |||
Depression | 0.10 | 33 | |||
Compute the expected return and standard deviation. (Do not round intermediate calculations and round your answers to 2 decimal places.) |
Expected return | % | |
Standard deviation | % |
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