Question: Problem 10-17 Expected Return Risk (LG10-1) Following are three economic states, their likelihoods, and the potential returns: Economic State Probability Return Fast growth 0.27 34
Problem 10-17 Expected Return Risk (LG10-1)
| Following are three economic states, their likelihoods, and the potential returns: |
| Economic State | Probability | Return | |||
| Fast growth | 0.27 | 34 | % | ||
| Slow growth | 0.35 | 7 | |||
| Recession | 0.38 | 29 | |||
| Determine the standard deviation of the expected return. (Do not round intermediate calculations and round your answer to 2 decimal places.) |
| Standard deviation | % |
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