Use the following data to answer Question 1 through 3.

1) An investment has a 50 percent chance of a 20 percent return, a 25 percent chance of a 10 percent return, and a 25 percent chance of a -10 percent return. 1. What is the investment' expected return?

a. 5.0%

b. 10.0%

c. 12.5%

d. 15.0%

2) What is the investment's variance of returns?

a. 0.005

b. 0.010

c. 0.015

d. 0.150

Variance=(Standard deviation)^2=^2

3) What is the investment's standard deviation of returns?

a. 1.225%

b. 1.500%

c. 2.250%

d. 12.250%