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You are considering investing in a project with the following possible outcomes: Probability of Investment States Occurrence Returns State 1: Economic boom 40% +20% State
You are considering investing in a project with the following possible outcomes: Probability of Investment States Occurrence Returns State 1: Economic boom 40% +20% State 2: Economic growth 40% 0% State 3: Economic decline 20% -10% Calculate the expected rate of return and the standard deviation of % returns for this investment?
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