4 Consider the following information: Probability of Rate of Return if State Occurs 10 State of...
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4 Consider the following information: Probability of Rate of Return if State Occurs 10 State of Economy State of Economy Stock A Stock B Stock C points Boom 0.55 0.06 0.14 0.34 Bust 0.45 0.10 0.02 -0.07 eBook Print a. What is the expected return on an equally weighted portfolio of these three stocks? (Do not round intermediate calculations. Round the final answer to 2 decimal places.) Expected return 10.65% References b. What is the variance of a portfolio invested 25% each in A and B and 50% in C? (Do not round intermediate calculations. Round the final answer to 6 decimal places.) Variance Sav 4 Consider the following information: Probability of Rate of Return if State Occurs 10 State of Economy State of Economy Stock A Stock B Stock C points Boom 0.55 0.06 0.14 0.34 Bust 0.45 0.10 0.02 -0.07 eBook Print a. What is the expected return on an equally weighted portfolio of these three stocks? (Do not round intermediate calculations. Round the final answer to 2 decimal places.) Expected return 10.65% References b. What is the variance of a portfolio invested 25% each in A and B and 50% in C? (Do not round intermediate calculations. Round the final answer to 6 decimal places.) Variance Sav
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