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please do not use excel [14 Points] Consider the following information on Stocks A and B: State of Economy Probability of Rate of Return if
please do not use excel
[14 Points] Consider the following information on Stocks A and B: State of Economy Probability of Rate of Return if State Occurs State of Economy Stock A Stock B Recession 0.30 2% -5% Boom 0.70 15% 12% The market expected return is 11%, and the risk-free rate is 4%. 1) Which stock has more systematic risk? Use the calculation to support your answer. 2) Which stock has more total risk? Use the calculation to support yourStep by Step Solution
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