Problem 11-9 Returns and Standard Deviations [LO 1, 2] Consider the following information: Rate of Return if State Occurs State of Probability of State Economy of Economy Boom Bust .60 .40 Stock A .18 .03 Stock B .04 Stock C .31 .16 -.11 a. What is the expected return on an equally weighted portfolio of these three stocks? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b. What is the variance of a portfolio invested 20 percent each in A and B and 60 percent in C? (Do not round intermediate calculations and round your answer to 5 decimal places, e.g., .16161.) a. Expected return b. Variance of a portfolio %