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Homework answers / question archive / An investment manager is considering an investment in one of two common stocks
An investment manager is considering an investment in one of two common stocks. Given the information that follows, which investment is better, based on the risk (as measured by the standard deviation) and return of each? Common Stock A Probability Return 0.3 5% 0.4 14% 0.3 23% Common Stock B Probability Return 0.2 5% 0.3 12% 0.3 18% 0.2 23%
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