Question: HOW DO YOU DO THE STANDARD DEVATION OF STOCKS?????? Consider the following information: Rate of Return if State Occurs State of Economy Recession Normal Boom

 HOW DO YOU DO THE STANDARD DEVATION OF STOCKS?????? Consider the

HOW DO YOU DO THE STANDARD DEVATION OF STOCKS??????

Consider the following information: Rate of Return if State Occurs State of Economy Recession Normal Boom Probability of State of Economy .15 .55 .30 Stock A .04 .09 .17 Stock B -.17 .12 .27 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 10.65 % 12.15% 3.60 % % b. Stock B standard deviation

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