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Westover stock is expected to return 36 percent in a boom, 14 percent in a normal economy, and lose 75 percent in a recession. The
Westover stock is expected to return 36 percent in a boom, 14 percent in a normal economy, and lose 75 percent in a recession. The probabilities of a boom, normal economy, and a recession are 2 percent, 93 percent, and 5 percent, respectively. What is the standard deviation of the returns on this stock?
19.90 percent
20.52 percent
20.41 percent
18.79 percent
19.74 percent
PLEASE EXPLAIN HOW TO DO THIS WITH TI-84 GRAPHING CALCULATOR STATISTICS FUNCTION, not by hand or your answer will be disliked.
The correct answer is 19.74 percent
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