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please also calculate standard deviation and variance for all 3. Thank you. Expected return. Bacon and Associates, a famous Northwest think tank, has provided probability
please also calculate standard deviation and variance for all 3. Thank you.
Expected return. Bacon and Associates, a famous Northwest think tank, has provided probability estimates for the four potential economic states for the coming year in the following table: B. The probability of a boom economy is 23%, the probability of a stable growth economy is 44%, the probability of a stagnant economy is 20%, and the probability of a recession is 13%. Estimate the expected returns on the following individual investments for the coming year. Data Table What is the expected return of the stock investment? % (Round to two decimal places.) (Click on the following icon in order to copy its contents into a spreadsheet.) Investment Stock Corporate bond Government bond Boom 26% 9% 8% Forecasted Returns for Each Economy Stable Growth Stagnant 14% 7% 7% 6% 6% 5% Recession - 15% 4% 3%Step by Step Solution
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