The following table details an analyst's prediction of the probabilities of different states of the market over the next year,along with the forecast returns on security Alpha-a share of a company in a cyclical industry in each different market state.
What is the expected return and standard deviation of returns on security Alpha?
A)8.50% and 9.09%
B)8.20% and 4.26%
C)7.80% and 9.09%
D)8.50% and 0.83%
E)6.52% and 8.26%

Question

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The Answer of The following table details an analyst's prediction of the probabilities of different states of the market over the next year,along with the forecast returns on security Alpha-a share of a company in a cyclical industry in each different market state.
What is the expected return and standard deviation of returns on security Alpha?
A)8.50% and 9.09%
B)8.20% and 4.26%
C)7.80% and 9.09%
D)8.50% and 0.83%
E)6.52% and 8.26%

The Following Table Details an Analyst's Prediction of the Probabilities