Question: 2 . You have $ 1 0 , 0 0 0 saved up to invest for a year and are considering stocks ( S )

2. You have $10,000 saved up to invest for a year and are considering stocks (S) and/or short-term Treasury bills (T). The returns from both sources are judged uncertain, of course, as the following probability table indicates:
a. If you split your investment 30% in stock and 70% in Treasury bills, what would be the expected return and standard deviation? (10 points)
b. Are the return of stock and bond independent? (10 points)

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