The market risk premium is 11.5 percent, and the risk-free rate is 4.5 percent.Consider the following information on Stocks I and II:

Consider the following information on Stocks I and lI Probability of Rate of Return if State Occurs State of Economy Recession Normal rrational exuberance State of Economy Stock Stock II 20 65 15 045 345 205 -.25 17 45 The market risk premium is 11.5 percent, and the risk-free rate is 4.5 percent Requirement 1: (a) Calculate the beta and standard deviation of Stock I. (Do not round intermediate calculations. Enter the standard deviation as a percentage. Round your answers to 2 decimal places (e.g., 32.16).) Stock I Beta Standard deviation (b) Calculate the beta and standard deviation of Stock II. (Do not round intermediate calculations. Enter the standard deviation as a percentage. Round your answers to 2 decimal places (e.g., 32.16).) Stock II Beta Standard deviation Requirement 2: (a) Which stock has the most systematic risk? (Click to select) (b) Which one has the most unsystematic risk? (Click to select) (c) Which stock is 'riskier? (Click to select)