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Security Returns if State Occurs State of Economy Bust Boom Probability of State of Economy .40 .60 Roll -10% 28 Ross 21% 8 Calculate the

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Security Returns if State Occurs State of Economy Bust Boom Probability of State of Economy .40 .60 Roll -10% 28 Ross 21% 8 Calculate the standard deviations for Roll and Ross by filling in the following table: (A negative value should be indicated by a minus sign. Do not round intermediate calculations. Round your answers to 4 decimal places.) State of Probability of State of Economy Economy Return Deviation from Expected Return Squared Return Deviation Product Roll Bust .40 0.1000 Boom .60 Ross 40 Bust Boom .60 -0.0520 0.0027 o2 = (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.) Standard Deviations Roll Ross % %

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