Question: **PLEASE COMPLETE IN EXCEL & SHOW FORMULA'S** You have been given this probability distribution for the holding-period return for GE stock: Prob Ret Boom 0.4

**PLEASE COMPLETE IN EXCEL & SHOW FORMULA'S**

You have been given this probability distribution for the holding-period return for GE stock:

Prob

Ret

Boom

0.4

0.3

Normal

0.4

0.11

recession

0.2

-0.1

What is the expected standard deviation for GE stock? (Answer: variance is 2.21%)

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