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The following equally likely outcomes have been estimated for the returns on Portfolio P and Portfolio Q: Scenario Portfolio P Portfolio Q 1 4.0% 11.0%

The following equally likely outcomes have been estimated for the returns on Portfolio P and Portfolio Q: Scenario Portfolio P Portfolio Q 1 4.0% 11.0% 2 7.0% -7.0% 3 -3.0% 15.0% 4 9.0% -9.0% Calculate the standard deviations of the rate of return for the two portfolios. Round your answer to the nearest tenth of a percent.

Stdev(P): 6.13%; Stdev(Q): 12.01%

Stdev(P): 5.31%; Stdev(Q): 11.29%

Stdev(P): 5.25%; Stdev(Q): 11.24%

Stdev(P): 4.55%; Stdev(Q): 10.62%

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