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Calculating Returns and Standard Deviations. Based on the following information, calculate the expected return and standard deviation for the two stocks.

                                                                                                                Return if state occurs

Sate of Economy                         Possiblity of State of Economy          Stock A               Stock B

Bust                                                               .15                                       .02                      -.30

Normal                                                            .55                                       .10                        .18

Boom                                                              .30                                        .15                         .31

Financial Management, Finance

  • Category:- Financial Management
  • Reference No.:- M92052811

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