Stocks A and B have the following probability distributions of expected future returns: % % Now calculate the coefficien

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answerhappygod
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Stocks A and B have the following probability distributions of expected future returns: % % Now calculate the coefficien

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Stocks A and B have the following probability distributions ofexpected future returns:
%
%
Now calculate the coefficient of variation for Stock B. Do notround intermediate calculations. Round your answer to two decimalplaces.
Is it possible that most investors might regard Stock B as beingless risky than Stock A?
-Select-IIIIIIIVVItem 4
Assume the risk-free rate is 3.5%. What are the Sharpe ratiosfor Stocks A and B? Do not round intermediate calculations. Roundyour answers to four decimal places.
Stock A:
Stock B:
Are these calculations consistent with the information obtainedfrom the coefficient of variation calculations in Part b?
-Select-IIIIIIIVV
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