23. Stock X and Stock Y sell at the same price. Stock X has a required return of 12%. Stock Y has a required return of 10%. Stock Xs dividend is expected to grow at a constant rate of 6% a year, while Stock Ys dividend is expected to grow at a constant rate of 4%. Assume that the market is in equilibrium and What is the expected return? What is the standard deviation?

State of Economy	Probability of State of Economy	Rate of return if state occurs
Recession	0.2	-9%
Normal	0.5	11%
Boom	0.3	30%