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Nancy 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
Nancy 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 0.3 Return 25.00% Boom Good 15.00% Level 10.00% -5.00% Slump Use the table of returns and probabilities above to determine the expected return on Nancy's investment? (Round answer to 3 decimal places, e.g. 0.076.) Expected return Use the table of returns and probabilities above to determine the standard deviation of the return on Nancy's investment? (Round answer to 5 decimal places, e.g. 0.07680.) Standard deviation Click if you would like to show Work for this question: Open Show Work
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