Expected return and standard deviation
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Based on the following information, calculate the expected return and standard deviation:
State of Economy Probability of State of Economy Rate of Return if State Occurs
Depression .10 -0.045
Recession .20 0.044
Normal .50 0.120
Boom .20 0.207
Please do not respond in Excel.
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Solution Summary
Calculates expected return and standard deviation for the economy.
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