There is a 42% probability of a below average economy and a 58% probability of an average economy. If there is a below average economy stocks A and B will have returns of 1% and -9%, respectively. If there is an average economy stocks A and B will have returns of 14% and 14%, respectively. Calculate the expected returns and standard deviations of stocks A and B.
Stock A Expected Return (4 decimals) =
Stock B Expected Return (4 decimals) =
Stock A Standard Deviation (4 decimals) =
Stock B Standard Deviation (4 decimals) =