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Problem 5-5 (Algo) 3 Suppose your expectations regarding the stock market are as follows: State of the Economy HPR Probability 0.3 Boom 0/9.09 points awarded

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Problem 5-5 (Algo) 3 Suppose your expectations regarding the stock market are as follows: State of the Economy HPR Probability 0.3 Boom 0/9.09 points awarded 0.3 Normal growth Recession 0.4 Scored E (r) = 1P (s)r (s) Var (r) = o = p (s)[r (s) E (r)] eBook SD (r) = o = Var (r) Required: Ask Use above equations to compute the mean and standard deviation of the HPR on stocks. (Do not round intermediate calculations. Round your answers to 2 decimal places.) Print Mean 11.10 % P Standard deviation 20.85 % References 33% 19 -15

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