Karen is considering investing in a company's stock and is aware that the return on that investment is particularly sensitive to how the economy is performing. Her analysis suggests that four states of the economy can affect the return on the investment. Probability Return Boom 0.2 25.00% Good 0.2 15.00% Level 0.1 10.00% Slump 0.5 -5.00% (

a1) Use the table of returns and probabilities above to determine the expected return on Karens investment? (Round answer to 3 decimal places, e.g. 0.076.)

Expected return enter the expected return rounded to 3 decimal places

Expected return: 6.50 (INCORRECT)

(a2) Use the table of returns and probabilities above to determine the standard deviation of the return on Karen's investment? (Round answer to 5 decimal places, e.g. 0.07680.)

Standard deviation enter the standard deviation rounded to 5 decimal places

Standard deviation: 150.25 (INCORRECT)