Question: Problem 10-24 Expected Return and Risk (LG10-1) Following are four economic states, their likelihoods, and the potential returns: Economic State Probability Return Fast growth 0.32

Problem 10-24 Expected Return and Risk (LG10-1)

Following are four economic states, their likelihoods, and the potential returns:

Economic State Probability Return
Fast growth 0.32 62 %
Slow growth 0.43 18
Recession 0.15 8
Depression 0.10 42

Compute the expected return and standard deviation. (Do not round intermediate calculations and round your answers to 2 decimal places.)

Expected return %
Standard deviation %

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