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Consider the Following Probability Distribution for Stocks a and B

question 5

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Consider the following probability distribution for stocks A and B:  State  Probability  Return on Stock A Return on Stock E 10.1010%8%20.201387830.201286840.301489850.201588%\begin{array}{cccc}\text { State } & \text { Probability } & \text { Return on Stock A}& \text { Return on Stock E } \\1 & 0.10 & 10 \% & 8 \% \\2 & 0.20 & 138 & 78 \\3 & 0.20 & 128 & 68 \\4 & 0.30 & 148 & 98 \\5 & 0.20 & 158 & 8 \%\end{array}
The expected rates of return of stocks A and B are _____ and _____, respectively.


Definitions:

Collagen

The main structural protein found in skin and other connective tissues, widely used in purified form for cosmetic surgical treatments.

Decubitus

A medical term referring to a body position in which the patient lies down. It also pertains to pressure sores that can develop from prolonged bedrest.

Bedsore

A sore that develops on the body due to prolonged pressure from lying in one position.

Alopecia

A condition causing hair loss from some or all areas of the body, typically the scalp.

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