Question: Intro We know the following expected returns for stocks A and B given different states of the economy: State (s) Probability E(TA,s) E('B,s) Recession 0.2

Intro We know the following expected returns for stocks A and B given different states of the economy: State (s) Probability E(TA,s) E('B,s)

Intro We know the following expected returns for stocks A and B given different states of the economy: State (s) Probability E(TA,s) E('B,s) Recession 0.2 -0.03 0.05 Normal 0.5 0.12 0.08 Expansion 0.3 0.2 0.12 Attempt 1/10 for 10 pts. Part 3 What is the standard deviation of returns for stock A? 3+ decimals Submit Attempt 1/10 for 10 pts. Part 4 What is the standard deviation of returns for stock B? 4+ decimals Submit

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