1. The stock of Business Adventures sells for $42 a share. Its likely dividend payout and end-of-year price depend on the state of the economy by the end of the year as follows.

   Boom State: Dividend is $2.00 and stock price is $50

   Normal State: Dividend is $1.00 and stock price is $43

   Recession: Dividend is $0.50 and stock price is $34

   If all scenarios are equally likely, which of the following is closest to the standard deviation of the stock?

   		21.23%
   		25.34%
   		13.06%
   		17.03%