You should recognize that basing a decision solely on expected returns is appropriate only for risk$-$neutral individuals. Because your client, like most people, is risk$-$averse, the riskiness of each alternative is an important aspect of the decision. One possible measure of risk is the standard deviation of returns.

$1.$Calculate this value for each alternative and fill in the blank on the row for $\backslash$sigma in the table.

$2.$ What type of risk is measured by the standard deviation?

$3.$ Draw a graph that shows roughly the shape of the probability distributions for High Tech, U$.$S$.$ Rubber, and T$-$bills.