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Consider the Following Probability Distribution for Stocks C and D

Question 40

Multiple Choice

Consider the following probability distribution for stocks C and D:  State  Probability  Return on Stock C  Return on Stock D 10.307%−9%20.5011%14%30.20−16%26%\begin{array} { c c c c } \text { State } & \text { Probability } & \text { Return on Stock C } & \text { Return on Stock D } \\1 & 0.30 & 7 \% & - 9 \% \\2 & 0.50 & 11 \% & 14 \% \\3 & 0.20 & - 16 \% & 26 \% \\\hline\end{array} The standard deviations of stocks C and D are _____ and _____, respectively.


A) 7.62%; 11.24%
B) 11.24%; 7.62%
C) 10.35%; 12.93%
D) 12.93%; 10.35%

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