You have been given this probability distribution for the holding-period return for KMP stock: Stock of the Economy Probability HPR Boom 0.30 18 % Normal growth 0.50 12 % Recession 0.20 – 5 % What is...


You have been given this probability distribution for the holding-period return for KMP stock:































































Stock of the Economy





Probability













HPR





Boom





0.30







18



%



Normal growth





0.50







12



%



Recession





0.20







5



%







 What is the expected standard deviation for KMP stock?


         A)   6.91%

         B)   8.13%
         C)   7.79%
         D)   7.25%
         E)   8.85%
Please provide justification



Jun 03, 2022
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