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Intro We know the following expected returns for stocks A and B, given different states of the economy: State (s) Probability Eras) E(Tb,s) Recession 0.1

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Intro We know the following expected returns for stocks A and B, given different states of the economy: State (s) Probability Eras) E(Tb,s) Recession 0.1 -0.05 0.03 Normal 0.5 0.1 0.06 Expansion 0.4 0.18 0.1 | Attempt 1/5 for 5 pts. Part 1 What is the expected return for stock A? 3+ decimals Submit Attempt 175 for 5 pts. Part 2 What is the standard deviation of returns for stock A? 4+ decimals Submit

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