Expected return and standard deviation.

Use the following information to answer the questions:

a.What is the expected return of each asset?

b.What is the variance and the standard deviation of each asset?

c.What is the expected return of a portfolio with 8% in asset J, 55% in asset K, and 37% in asset L?

d.What is the portfolio's variance and standard deviation using the same asset weights from part (c)?

State of Economy Boom Growth Stagnant Recession Probability of State 0.27 0.37 0.21 0.15 Return on Asset J in State 0.065 0.065 0.065 0.065 Return on Asset K in State 0.240 0.130 0.050 - 0.100 Return on Asset L in State 0.280 0.180 0.080 -0.200