QUESTION 23 An investment has an 7.9% expected return. The returns and respective probabilities appear below. Calculate the standard deviation. Return -1% 10% 22% State Boom Normal Recession 7.98% 10.63% 9.12% 8.09% none of the above Probability .20 .50 .30 QUESTION 24 The market risk premium is 6.2% and the risk free rate is 1.1%. If the firm has a beta of .92, what return does the CAPM indicate should be requir 4.605% 6.664% 6.804% 5.998% none of the above

An investrnent has an 7.9% expected return. The retums and respective probabilities appear below. Calculate the standard deviation. 7.98%10.63%9.12%8.09% none of the above QUESTION 24 The market risk premium is 6.2% and the risk free rate is 1,1%. If the firm has a beta of, 92 , what return does the CAPM indicate should be requ 4.605% 6.664% 6.804% 5.998% none of the above