Question: Intro We know the following expected returns for stocks A and B. given different states of the economy: State (s) Probability E(As) E(re.) 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(As) E(re.) Recession 0.2 -0.02 0.02 Normal 0.5 0.13 0.05 Expansion 0.3 0.21 0.09 IB Attempt 1/10 for 10 pts. Part 1 What is the expected return for stock A? 3+ decimals Submit IB Attempt 1/10 for 10 pts. Part 2 What is the expected return for stock B? 3+ decimals Submit IB Attempt 1/10 for 10 pts. Part 2 What is the expected return for stock B? 3+ decimals Submit Part 3 | Attempt 1/10 for 10 pts. 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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