Probability 0.1 0.2 0.4 0.2 0.1 Stock A (%) -2.5% 0.5 3. 5 Return 9.5 Stock B (%) -8.75% 0 5 6.25 11.25

Return Stock A Stock B \begin{tabular}{ccc} Probability & (%) & (%) \\ \hline 0.1 & 2.5% & 8.75% \\ 0.2 & 0.5 & 0 \\ 0.4 & 3 & 5 \\ 0.2 & 5 & 6.25 \\ 0.1 & 9.5 & 11.25 \end{tabular} Suppose you know that the expected rate of return for stock A is 3% 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 5.0867% and would like to calculate the standard deviabion of expected returns for stock A. Hint: Recall that the expected rate of return for stock A is 3%. The variance of the expected returns for stock A is approximately while the standard deviation of expected returns for stock A is approximately %. Using your calculations in the previous parts of the problem, the coefficient ofvariation of stock 8 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