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Stocks A and B have the following probability distributions of expected future returns: Probability A B 0.1 (8 %) (24 %) 0.1 2 0 0.6

Stocks A and B have the following probability distributions of expected future returns:

Probability A B
0.1 (8 %) (24 %)
0.1 2 0
0.6 14 18
0.1 23 30
0.1 35 39
  1. Calculate the expected rate of return, , for Stock B ( = 13.60%.) Do not round intermediate calculations. Round your answer to two decimal places.

    %

  2. Calculate the standard deviation of expected returns, A, for Stock A (B = 16.12%.) Do not round intermediate calculations. Round your answer to two decimal places.

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