Chapter8: Analysis Of Risk And Return
Section: Chapter Questions
Problem 21P
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Question
a. Calculate the expected return for each security.
b. Calculate the standard deviation for each security
![You are considering the two securities listed below.
Returns
Probability
Securities A
Securities B
25%
13%
7%
50%
15%
13%
25%
17%
33%](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fa2a401b1-2928-4ad6-abb4-c2007e0bba46%2Fd5043b2b-5ac5-4843-bba3-487c623232c3%2Fx72hp6_processed.jpeg&w=3840&q=75)
Transcribed Image Text:You are considering the two securities listed below.
Returns
Probability
Securities A
Securities B
25%
13%
7%
50%
15%
13%
25%
17%
33%
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