Compute the investments expected return


Problem: Carter, Inc., is evaluating a security. One-year Treasury bills are currently paying 9.1 percent.

Calculate the investment's expected return and its standard deviation.

Should Carter invest in this security?

PROBABILITY RETURN

.15 6%
.30 9%
.40 10%
.15 15%

Please show work on expected return and standard deviation

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Finance Basics: Compute the investments expected return
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