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We know the following expected returns for stocks A and B, given different states of the economy: State (s) Probability E(r A,s ) E(r B,s

We know the following expected returns for stocks A and B, given different states of the economy:

State (s) Probability E(rA,s) E(rB,s)
Recession 0.3 -0.02 0.03
Normal 0.5 0.13 0.06
Expansion 0.2 0.21 0.1

Part 1

What is the expected return for stock A? (3+ decimals)

Part 2

What is the expected return for stock B? (3+ decimals)

Part 3

What is the standard deviation of returns for stock A? (3+ decimals)

Part 4

What is the standard deviation of returns for stock B? (4+ decimals)

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