Question: PLEASE SHOW ALL WORK AND FORMULAS. DON'T USE EXCEL. Question 34 Kathleen has two investment opportunities. She can invest in The Sunglasses Company or the

PLEASE SHOW ALL WORK AND FORMULAS. DON'T USE EXCEL.

Question 34 Kathleen has two investment opportunities. She can invest in The Sunglasses Company or the Umbrella Company. She estimates there is a 75% chance it will remain sunny and Sunglasses Co. stock will rise 25% and Umbrella Co. stock will stay flat. She also estimates there is a 25% chance it will rain and Sunglasses Co. stock will remain flat and Umbrella Co. stock will rise by 50%. If she diversifies her investment by putting 50% of her money in each company, what is the expected return and standard deviation of her portfolio

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