Question: Based on the following information, calculate the expected return and standard deviation for the two stocks. PROBABILITY OF STATE OF ECONOMY RATE OF RETURN IF

Based on the following information, calculate the and standard deviation for the two stocks.

PROBABILITY OF STATE OF ECONOMY RATE OF RETURN IF STATE OCCURS STATE OF ECONOMY Recession Normal Boom STOCK A .03 .07 STOCK B .15 .50 35 .20 .13

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