Given the following based on AAA, Inc. common stock, please calculate the Expected Return. Variance, and Stander Deviationof the Returns.

Scenario Probability HPR(%)

Severe recession 0.10 -21

Mild recession 0.20 -16

Normal Growth 0.30 11

Boom 0.40 19

Assuming we creat a Portfolio consisting 65% of the above stocks and 35% of bonds with the following possible returns. Please calculate the Expected Return Variance, and Stander Deviationof of this Portfolio.

Scenario Probability HPR(%)

Severe recession 0.10 -8

Mild recession 0.20 2

Normal Growth 0.30 6

Boom 0.40 7

Please calculate the Covariance and Coefficient to the returns of the above stock and bonds.