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Problem 1 3 - 7 Calculating Returns and Standard Deviations ( LO 1 ) Consider the following information: Rate of Return if State OccursState of

Problem 13-7 Calculating Returns and Standard Deviations (LO1)Consider the following information: Rate of Return if State OccursState of EconomyProbability of State of EconomyStock AStock BRecession 0.150.090.16 Normal 0.550.180.17 Boom 0.300.210.21 Calculate the expected return for each stock. (Do not round intermediate calculations. Round the final answers to 2 decimal places.) Expected returnStock A %Stock B % Calculate the standard deviation for each stock. (Do not round intermediate calculations. Round the final answers to 2 decimal places.) Standard deviationStock A %Stock B %

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