Question: Use the information in the table below to answer the next seven multiple choice questions. State of Nature Probability Return on A Return on B

Use the information in the table below to answer the next seven multiple choice questions. State of Nature Probability Return on A Return on B I 0.2 7% 11% II 0.2 9% 7% III 0.6 13% 14% The correlation between A and B is 0.35. The portfolio weight of A is 30%. The portfolio weight of B is 70%.

The expected return in percent for investment A is

The standard deviation of returns for investment A is

The expected return in percent for investment B is

The standard deviation of returns for investment B is

The expected return in percent for a portfolio of 30% investment A and 70% investment B is

The covariance between investment A and investment B is

The return standard deviation for a portfolio of 30% investment A and 70% investment B is

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