Consider the following information: Rate of Return if State Occurs State of Economy Probability of State...
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Consider the following information: Rate of Return if State Occurs State of Economy Probability of State of Economy Stock A Stock B Recession .15 .04 -.15 Normal Boom .61 .24 .07 .14 .12 .31 a. Calculate the expected return for Stocks A and B. (Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) b. Calculate the standard deviation for Stocks A and B. (Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) a. Stock A expected return % a. Stock B expected return % b. Stock A standard deviation % b. Stock B standard deviation % Consider the following information: Rate of Return if State Occurs State of Economy Probability of State of Economy Stock A Stock B Recession .15 .04 -.15 Normal Boom .61 .24 .07 .14 .12 .31 a. Calculate the expected return for Stocks A and B. (Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) b. Calculate the standard deviation for Stocks A and B. (Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) a. Stock A expected return % a. Stock B expected return % b. Stock A standard deviation % b. Stock B standard deviation %
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