Question: Calculating returns and standard deviation. Based on the following information, can you calculate the expected return and standard deviation for the two stocks?: State of

Calculating returns and standard deviation. Based on the following information, can you calculate the expected return and standard deviation for the two stocks?:

State of economy. Prob of st of econ Rate of return if state occurs

Stock A Stock B

Recession .25 .06 -.20

Normal .55 .07 .13

Boom .20 . .11 .33

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