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Q1) There is a 43.50% probability of a below average economy and a 56.50% probability of an average economy. If there is a below average
Q1) There is a 43.50% probability of a below average economy and a 56.50% probability of an average economy. If there is a below average economy stocks A and B will have returns of 4.60% and 12.30%, respectively. If there is an average economy stocks A and B will have returns of 18.00% and -8.20%, respectively. Compute the: a) Expected Return for Stock A (0.75 points): |
b) Expected Return for Stock B (0.75 points): |
c) Standard Deviation for Stock A (0.75 points): |
d) Standard Deviation for Stock B (0.75 points): |
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