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Show work on excel. show calculations. 8-6 EXPECTED RETURNS Stocks A...

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Show work on excel. show calculations.
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8-6 EXPECTED RETURNS Stocks A and B have the following probability distributions of expected future returns: Probability 0.1 0.2 0.4 0.2 0.1 A (10%) 2 12 20 38 B (35%) 0 20 25 45 a. Calculate the expected rate of return, fg, for Stock B (A = 12%). b. Calculate the standard deviation of expected returns, A, for Stock A (OB = 20,35%). Now calculate the coefficient of variation for Stock B. Is it possible that most investors will regard Stock B as being less risky than Stock A? Explain. 111on

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