Question: 5. Consider the following information: Asset A Return Probability 2 0.1 4 0.2 6 0.4 0.2 8 10 0.1 Asset B Return Probability a. What

5. Consider the following information: Asset A Return Probability 2 0.1

5. Consider the following information: Asset A Return Probability 2 0.1 4 0.2 6 0.4 0.2 8 10 0.1 Asset B Return Probability a. What is 0 0.1 the 4 0.25 expected 8 0.3 return on 12 0.25 asset A? 16 0.1 b. What is the expected return on asset B? c. What is the variance and standard deviation of Asset A? d. What is the variance and standard deviation of Asset B? e. If you are a risk averse decision maker which asset you will prefer and why

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