(Related to Checkpoint 7.1) (Expected rate of return and risk) B. J. Gautney Enterprises is evaluating a security. One-year Treasury bills are currently paying 4.3 percent. Calculate the investment's expected return and its standard deviation. Should Gautney invest in this security? Probability Return 0.05 - 5% 0.50 1% 0.40 7% 0.05 10% (Click on the icon in order to copy its contents into a spreadsheet.) a. The investment's expected return is%. (Round to two decimal places.) ...

(Click on the icon oy in order to copy its contents into a spreadsheot.) a. The investment's expected retum is 1/. (Round to two decind places.)