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Stocks A and B have the following probability distributions of expected future returns: Probability A B 0.2 (10%) (21%) 0.2 3 0 0.3 13 23

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

Probability A B
0.2 (10%) (21%)
0.2 3 0
0.3 13 23
0.2 24 30
0.1 28 38

a.Calculate the expected rate of return, rB, for Stock B (rA = 10.10%.) Do not round intermediate calculations. Round your answer to two decimal places.

b.Calculate the standard deviation of expected returns, A, for Stock A (B = 20.37%.) Do not round intermediate calculations. Round your answer to two decimal places.

c.Now calculate the coefficient of variation for Stock B. Round your answer to two decimal places.

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