Probability distribution for the holding-period return

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You have been given this probability distribution for the holding-period return for GM stock:

State of the Economy Probability HPR

Boom .40 30%

Normal growth .40 11%

Recession .20 -10%

What is the expected standard deviation for GM stock?

A. 16.91%

B. 16.13%

C. 13.79%

D. 15.25%

E. 14.87%

F. 09.80%

Reference no: EM132504325

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