If your portfolio is invested 30 percent each in A and B and 40 percent in C, what is the portfolio’s expected return and the variance? Show work if possible.

State of Economy	Probability of State of Economy	Stock A Return (%)	Stock B Return (%)	Stock C Return (%)
Boom	0.10	6%	30%	27%
Normal	0.50	12%	22%	13%
Recession	0.40	18%	-14%	-40%

Answer rating: 100% (QA)

Boom Normal Recession Probability 010 050 040 Weight ... View the full answer