Question: Expected Return and Risk Compute the expected return and standard deviation given these four economic states, their likelihoods, and the potential returns: (LG10-1) Economic State

Expected Return and Risk Compute the expected return and standard deviation given these four economic states, their likelihoods, and the potential returns:

(LG10-1)

Economic State Probability Return Fast growth 0.30 60% Slow growth 0.50 13

Economic State Probability Return Fast growth 0.30 60% Slow growth 0.50 13 Recession Depression 0.15 -15 0.05 -45

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