Problem 11-18 Portfolio Analysis (LO3) Consider the following scenario analysis: Scenario Recession Normal economy Probability 0.3 0.4 0.3 Rate of Return Stocks Bonds -4% 12% 13 7 22 3 Boom Assume a portfolio with weights of 0.60 in stocks and 0.40 in bonds. a. What is the rate of return on the portfolio in each scenario? (Enter your answer as a percent rounded to 1 decimal place.) Recession Normal economy Boom Rate of Return % % % b. What are the expected rate of return and standard deviation of the portfolio? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) % Expected return Standard deviation %