Compute the Standard Deviation of the Expected Return Given These

question 100

Multiple Choice

Compute the standard deviation of the expected return given these three economic states, their likelihoods, and the potential returns: $$\begin{array} { | l | c | r | } \hline \begin{array} { l } \text { Economic } \\\text { State }\end{array} & \text { Probability } & \text { Return } \\\hline \text { Fast Growth } & 0.2 & 30 \% \\\hline \text { Slow Growth } & 0.5 & 6 \% \\\hline \text { Recession } & 0.3 & - 2 \% \\\hline\end{array}$$

• A)8.4 percent
• B)10.87 percent
• C)11.34 percent
• D)24.09 percent

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Definitions:

Amalienburg

A small hunting lodge in the Nymphenburg Palace Park, Munich, Germany, noted for its elaborate Rococo architecture.

French Rococo

An artistic movement that originated in early 18th-century France, characterized by elaborate ornamentation, fluid curves, and themes of love, nature, and light-heartedness.

Vierzehnheiligen

A famous basilica located in Bavaria, Germany, known for its elaborate Baroque architecture.

Balthasar Neumann

A renowned German architect and military artillery engineer of the 18th century known for designing the residence in Würzburg and the Basilica of the Fourteen Holy Helpers.