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( Related to Checkpoint 7 . 1 ) ( Expected rate of return and risk ) B . J . Gautney Enterprises is evaluating a

(Related to Checkpoint7.1)(Expected rate of return and risk)B. J. Gautney Enterprises is evaluating a security. One-year Treasury bills are currently paying 3.8 percent. Calculate the investment's expected return and its standard deviation. Should Gautney invest in this security?
Probability
Return
0.10
negative 4
%
0.35
1
%
0.45
5
%
0.10
8
%
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Part 1
a.The investment's expected return is
enter your response here%.(Round to two decimal places.)

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