Question: Given the following information, calculate the expected return and standard deviation for a portfolio that has 34 percent invested in Stock A, 27 percent in

Given the following information, calculate the expected return and standard deviation for a portfolio that has 34 percent invested in Stock A, 27 percent in Stock B, and the balance in Stock C. (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.) Returns State of Economy Probability of State of Economy

Stock A Stock B Stock C

Boom 0.40 13 % 20 % 23 %

Bust 0.60 16 0 16

Expected return = 7.1%

standard deviation = ??

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