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please include formulas: B5. (Expected return and risk) Ford Corporation is considering three possible capital invest- ment projects. The projected returns depend on the future

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B5. (Expected return and risk) Ford Corporation is considering three possible capital invest- ment projects. The projected returns depend on the future state of the economy as given here. a. Calculate each project's expected return, variance, and standard deviation. b. Rank the projects on the basis of (1) expected return and (2) risk. Which project would you choose? PROJECTED RETURN State of the Economy Probability of Occurrence 8% Recession Stable Boom 10% 15 12% 0.20 0.60 0.20 21 25

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