Compute the standard deviation

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Compute the standard deviation given these four economic states, their likelihoods, and the potential returns:

Economic State Probability  Return

Fast Growth 0.40  50%

Slow Growth 0.40  10%

Recession 0.10  -10%

Depression 0.10  -5%

  • 6.71 percent
  • 22.5 percent
  • 23.37 percent
  • 52.20 percent

Reference no: EM132285106

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