State of economy probability of state of economy security

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Use the following information on states of the economy and stock returns to calculate the standard deviation of returns. (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. Omit the "%" sign in your response.) State of Economy Probability of State of Economy Security Return If State Occurs Recession .40 –5.5 % Normal .40 11 Boom .20 17

Reference no: EM131352292

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