Now it's time for you to practice what you've learned. Consider the following two probability distributions of expected future returns for stocks A and B: Suppose you know that the expected rate of return for stock A is 9.6% and would like to calculate the expected return far stock 8 . The expected rate of return for stock 8 is approximately \%. Suppose you know that the standard deviation of expected returns for stock 8 is 16.2776% and would like to calculate the standard deviation of expected returns for stock A. Hint: Recall that the expected rate of return for stock A is 9.6%. The variance of the expected returns for stock. A is approximately approximately While the standard deviation of expected returns for stock. A is Using your calculations in the previous parts of the problens, the cocfficient or variation of stock B is approximately True or Faise: Investors will always view the stock with a lower coelficient of varfation as a "safer" choice when compared to a stock with a higher Ch 08-Video Lesson - Risk and Rates of Return Suppose you know that the expected rate of return for stock A is 9.6% and would like to calculate the expected return for stock B. The expected rate of return for stock B is approximately \%. Suppose you know that the standard deviation of expected returns for stock B is 16.2776% and would like to calculate the standard deviation of expected returns for stock A. Hint: Recall that the expected rote of return for stock A is 9.6%. The variance of the expected returns for stock A is approximately while the standard Yleviation of expected retums for stock A is approximately \%6. Using your calculations in the previous parts of the problem, the coefficient of variation of stock B is approximately True or False: Investors will always view the stock with a lower coefficient of variation as a "safer" choice when compared to a stock with a higher coefficient of variation. True False Now it's time for you to practice what you've learned. Consider the following two probability distributions of expected future returns for stocks A and B: Suppose you know that the expected rate of return for stock A is 9.6% and would like to calculate the expected return far stock 8 . The expected rate of return for stock 8 is approximately \%. Suppose you know that the standard deviation of expected returns for stock 8 is 16.2776% and would like to calculate the standard deviation of expected returns for stock A. Hint: Recall that the expected rate of return for stock A is 9.6%. The variance of the expected returns for stock. A is approximately approximately While the standard deviation of expected returns for stock. A is Using your calculations in the previous parts of the problens, the cocfficient or variation of stock B is approximately True or Faise: Investors will always view the stock with a lower coelficient of varfation as a "safer" choice when compared to a stock with a higher Ch 08-Video Lesson - Risk and Rates of Return Suppose you know that the expected rate of return for stock A is 9.6% and would like to calculate the expected return for stock B. The expected rate of return for stock B is approximately \%. Suppose you know that the standard deviation of expected returns for stock B is 16.2776% and would like to calculate the standard deviation of expected returns for stock A. Hint: Recall that the expected rote of return for stock A is 9.6%. The variance of the expected returns for stock A is approximately while the standard Yleviation of expected retums for stock A is approximately \%6. Using your calculations in the previous parts of the problem, the coefficient of variation of stock B is approximately True or False: Investors will always view the stock with a lower coefficient of variation as a "safer" choice when compared to a stock with a higher coefficient of variation. True False