Question: Expected return and standard deviation. Use the following information to answer the questions. Return on Return on State of Probability Asset Rin Asset Sin Economy
Expected return and standard deviation. Use the following information to answer the questions. Return on Return on State of Probability Asset Rin Asset Sin Economy of State State State Boom 0.28 0.040 0.280 Growth 0.37 0.040 0.130 Stagnant 0.24 0.040 0.180 Recession 0.11 0.040 -0.025 a. What is the expected return of a portfolio with equal investment in all three assets? b. What is the portfolio's variance and standard deviation? Return on Asset Tin State 0.430 0.310 0.025 -0.150 a. What is the expected return of a portfolio with equal investment in all three assets ? (Round to four decimal places.) b. What is the portfolio's variance? (Round to four decimal places.) What is the portfolio's standard? (Round to four decimal places.)
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