Suppose your expectations regarding the stock market are as follows:

State of the Economy	Probability	HPR
Boom	0.3	39%
Normal growth	0.5	16
Recession	0.2	21

E(r)=ss=1p(s)r(s)

Var(r)2=ss=1p(s)[r(s)E(r)]2

SD(r)=Var(r)

Required:

Use above equations to compute the mean and standard deviation of the HPR on stocks. (Do not round intermediate calculations. Round your answers to 2 decimal places.)