Question: Based on the following information, what is the standard deviation of returns? State of Economy | Probability of State of Economy | Rate of Return

Based on the following information, what is the standard deviation of returns?

State of Economy | Probability of State of Economy | Rate of Return if State Occurs

Recession | .29 | .105

Normal | .32 | .120

Boom | .39 | .230

A) 18.90%

B) 27.49%

C) 19.47%

D) 13.75%

E) 25.20%

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