Stocks A and B have the following probability distributions of expected future returns: Probability A B 0.1 (12%) (38%) 0.2 6 0
0.4 16 19 0.2 23 26 0.1 39 41 Calculate the expected rate of return, rB, for Stock B (rA = 14.90%.) Do not round intermediate calculations. Round your answer to two decimal places. % Calculate the standard deviation of expected returns, σA, for Stock A (σB = 20.51%.) Do not round intermediate calculations. Round your answer to two decimal places. % Now calculate the coefficient of variation for Stock B. Round your answer to two decimal places.
