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Expected Returns: Discrete Distribution

The market and Stock J have the following probability distributions:

Probability rM rJ

0.3 13% 20%

0.4 10 4

0.3 19 11

Calculate the standard deviation for the market. Round your answer to two decimal places.

Calculate the standard deviation for Stock J. Round your answer to two decimal places.

Financial Management, Finance

  • Category:- Financial Management
  • Reference No.:- M92075567

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