$(7-7)$ Expected Rate of Return and Risk The following table shows the annual returns over time

for two stocks.

Calculate each stock's expected return, standard deviation, and coefficient of variation.

$(7-8)$ Portfolio Expected Rate of Return and Risk Based on the information in Problem $7-7,$

if a portfolio is made up of $40\%$ of Stock A and $60\%$ of Stock B:

a$.$ Calculate the portfolio's expected rate of return.

b$.$ Calculate the portfolio's standard deviation. Assume that the correlation between the two stocks is

$0\mathrm{.}40.$