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Suppose your expectations regarding the stock price are as follows: State of the Market Boon Normal growth Recession Probability 0.22 0.21 0.57 HPR Ending including

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Suppose your expectations regarding the stock price are as follows: State of the Market Boon Normal growth Recession Probability 0.22 0.21 0.57 HPR Ending including Price dividende) $ 140 49.51 110 21.5 80 -19.0 Use the equations E() = Ep ($) ($) and o? = Ep($) [r(8) - E(0)1 to compute themean and standard deviation of the HPR on stocks (Do not round Intermediate calculations. Round your answers to 2 decimal places.) Mean Standard deviation %

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