Rate of Return if State Occurs State of Economy Probability of State of Economy Boom Bust...
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Rate of Return if State Occurs State of Economy Probability of State of Economy Boom Bust .67 .33 Stock A .10 Stock B .04 Stock C .35 .24 .30 -.15 a. What is the expected return on an equally weighted portfolio of these three stocks? Note: 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 22 percent each in A and B and 56 percent in C? Note: Do not round intermediate calculations and round your answer to 5 decimal places, e.g., .16161. a. Expected return b. Variance of portfolio Answer is not complete. 15.21 % Rate of Return if State Occurs State of Economy Probability of State of Economy Boom Bust .67 .33 Stock A .10 Stock B .04 Stock C .35 .24 .30 -.15 a. What is the expected return on an equally weighted portfolio of these three stocks? Note: 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 22 percent each in A and B and 56 percent in C? Note: Do not round intermediate calculations and round your answer to 5 decimal places, e.g., .16161. a. Expected return b. Variance of portfolio Answer is not complete. 15.21 %
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