Calculate the standard deviations for the market and stock

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Prepare the following problems in Excel and ensure the formulas are present in the appropriate cells

The market and Stock J have the following probability distributions:

Probability rM rJ

0.3 15% 22%

0.4 9% 53 %

0.3 18% 11%

a. Calculate the expected rates of return for the market and Stock J.

b. Calculate the standard deviations for the market and Stock J.

Reference no: EM132014647

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