Question: Returns and Standard Deviations (LO1, 2) Consider the following information: %0D%0ARate of Return if State Occurs%0D%0AState of Economy%09Probability of State of Economy%09Stock A%09Stock B%09Stock C%0D%0ABoom%09.10%09

Returns and Standard Deviations (LO1, 2) Consider the following information: %0D%0ARate of Return if State Occurs%0D%0AState of Economy%09Probability of State of Economy%09Stock A%09Stock B%09Stock C%0D%0ABoom%09.10%09 .35%09 .45%09 .27%0D%0AGood%09.60%09 .16%09 .10%09 .08%0D%0APoor%09.25%09.01%09.06%09.04%0D%0ABust%09.05%09.12%09.20%09.09%0D%0AYour portfolio is invested 30% each in A and C, and 40% in B. What is the expected return of the portfolio?%0D%0AWhat is the variance of this portfolio? The standard deviation?

10. Returns and Standard Deviations (LO1,2) Consider the following information: a. Your portfolio is invested 30% each in A and C, and 40% in B. What is the expected return of the portfolio? b. What is the variance of this portfolio? The standard deviation

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