A stock's return has the following distribution:
Calculate the stock's expected return and standard deviation
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Demand for the Company's Product
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Probability of this Demand Occurring
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Rate of Return If this Demand Occurs (%)
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Weak
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0.1
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-50%
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Below Average
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0.2
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-5
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Average
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0.4
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16
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Above Average
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0.2
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25
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Strong
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0.1
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60
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1.0
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