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Calculate the expected return and standard deviation

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Question - The following table shows the possible returns for 2 stocks next year.

State of Economy

Probability

Stock A

Stock B

Depression

0.10

-3%

-12%

Recession

0.25

2%

6.9%

Normal

0.45

7%

13%

Boom

0.20

12%

23.1%

For Stock A: Expected return = 5.75%

Standard Deviation = 3.5576%

Coefficient of Variation = .6187x

Required - Calculate the expected return, standard deviation and coefficient of variation for Stock B?

Reference no: EM133066062

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