Question: Realized return is the name for returns that have actually been earned. Many analysts use past realized returns to both predict future performance and to

Realized return is the name for returns that have actually been earned. Many analysts use past realized returns to both predict future performance and to estimate the riskiness of the asset. Realized returns on Blue Moose Producers are given in the following table: 2013 2014 2015 2016 2017 Stock Return 25.46% 15.20% 22.99% 47.50% 12.35% The average realized return on Blue Moose Producers's stock from 2013 to 2017 was Based on economic conditions, you compiled the following information with estimates of returns from Blue Moose Producers's stock and the probabilities associated with the economic condition for the next year: Market Condition Probability (0) Market rate of Return (s) Boom 0.50 20% Normal 0.25 12% Recession 0.25 -16% Using this information, calculate the standard deviation of returns from Blue Moose Producers's stock, 14.80% 219.00% 3.85% 27.48%

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