5.7 You are trying to develop a strategy for investing in two different stocks. The anticipated annual return for a $1,0
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5.7 You are trying to develop a strategy for investing in two different stocks. The anticipated annual return for a $1,000 investment in each stock under four different economic con- ditions has the following probability distribution: Returns Probability Economic Condition 0.1 Recession 0.3 Slow growth 0.4 Moderate growth 0.2 Stock X Stock Y -50 -100 20 50 100 130 150 200 Fast growth Compute the a. expected return for stock X and for stock Y. b. standard deviation for stock Y and for stock Y.