Question: explain below answer step by step with formula 1.Suppose Asset A has an expected return of 10 percent and a standard deviation of 20 percent.

explain below answer step by step with formula

1.Suppose Asset A has an expected return of 10 percent and a standard deviation of 20 percent. Asset B has an expected return of 20 percent and a standard deviation of 40 percent. If the correlation between A and B is 0.35, what are the expected return and standard deviation for a portfolio comprised of 30 percent Asset A and 70 percent Asset B?

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