Consider the following information: Probability Rate of Return if State Occurs State of of State of...
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Consider the following information: Probability Rate of Return if State Occurs State of of State of Economy Economy Stock A Stock B Boom 0.35 0.21 0.42 Good Poor 0.20 0.14 0.21 0.30 0.02 -0.09 Bust 0.15 -0.06 -0.26 Stock C 0.30 0.12 -0.05 -0.09 a. Your portfolio is invested 25 percent each in Stocks A and C and 50 percent in Stock B. What is the expected return of the portfolio? Note: Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. Expected return Answer is complete and correct. 11.13 % b-1. What is the variance of this portfolio? Note: Do not round intermediate calculations. Round your answer to 5 decimal places. Variance b-2. What is the standard deviation? Note: Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. Consider the following information: Probability Rate of Return if State Occurs State of of State of Economy Economy Stock A Stock B Boom 0.35 0.21 0.42 Good Poor 0.20 0.14 0.21 0.30 0.02 -0.09 Bust 0.15 -0.06 -0.26 Stock C 0.30 0.12 -0.05 -0.09 a. Your portfolio is invested 25 percent each in Stocks A and C and 50 percent in Stock B. What is the expected return of the portfolio? Note: Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. Expected return Answer is complete and correct. 11.13 % b-1. What is the variance of this portfolio? Note: Do not round intermediate calculations. Round your answer to 5 decimal places. Variance b-2. What is the standard deviation? Note: Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.
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