Question: Correlation is not provided You have a portfolio which is comprised of 55 percent of stock A and 45 percent of stock B. You have

Correlation is not provided Correlation is not provided You have a portfolio which is comprised of 55 percent of stock A and 45 percent of stock B. A and 45 percent of stock B. Based on practice 1 embedded

You have a portfolio which is comprised of 55 percent of stock A and 45 percent of stock B. You have a portfolio which is comprised of 55 percent of stock A and 45 percent of stock B. Based on practice 1 embedded in the slides, what is the expected risk measured in standard deviation on this portfolio? 6.98% 8.37% 11.25% 13.87% State of the Economy Boom Normal Recession Probability 0.18 0.62 0.20 A 22% 14% -10.00% B 14% 8% 5.00%

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