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Following are four economic states, their likelihoods, and the potential returns: Economic State: Probability: Return: Fast Growth 0.30 52% Slow Growth 0.58 11% Recession 0.10

Following are four economic states, their likelihoods, and the potential returns:

Economic State: Probability: Return:

Fast Growth 0.30 52%

Slow Growth 0.58 11%

Recession 0.10 -21

Depression 0.02 -54

Compute the expected return and standard deviation. (Do not round intermediate calculations and round answers to 2 decimal places.

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