Question: Consider the following information on returns and probabilities: State Probability X Z Boom 30% 14% 11% Normal 55% 9% 8% Recession 15% 6% 11% (The

Consider the following information on returns and probabilities: State Probability X Z Boom 30% 14% 11% Normal 55% 9% 8% Recession 15% 6% 11% (The portfolio has an investment of $5,500 in asset X and $4,500 in asset Z)

A. What is the expected return for this portfolio?

B. What is the standard deviation for this portfolio?

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