Question: Based on the following information, calculate the expected return and standard deviation of the following stock. State of Economy Probability of State of Economy Rate

Based on the following information, calculate the expected return and standard deviation of the following stock.

State of Economy

Probability of State of Economy

Rate of Return if State Occurs

Depression

.10

-.279

Recession

.20

-.128

Normal

.45

.141

Boom

.25

.365

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