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Suppose your expectations regarding the stock price are as follows: Ending HPR (including State of the Market Boom Probability Price dividends) 0.30 $ 140
Suppose your expectations regarding the stock price are as follows: Ending HPR (including State of the Market Boom Probability Price dividends) 0.30 $ 140 56.5% Normal growth 0.26 110 14.5 Recession 0.44 80 -15.0 Use the equations E(r) = p (s) r(s) and o = p(s) [r(s) E(r)] to compute the mean and standard deviation of the HPR on S - stocks. (Do not round intermediate calculations. Round your answers to 2 decimal places.) Mean % Standard deviation %
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