Question: The return on Luccasen Corp. next year depends on how strong the economy is: Economy Probability Return very strong 0.2 25% normal 0.4 8% weak

The return on Luccasen Corp. next year depends on how strong the economy is: Economy Probability Return very strong 0.2 25% normal 0.4 8% weak 0.3 4% recession 0.1 -10%

What is the expected return (average) based on this information?

Group of answer choices 6% 7.25% 8.4% 9.25%

What is the standard deviation of these returns?

Group of answer choices 8.25% 9.7% 12.2% 94.84%

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