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Consider the following information: Rate of Return if State Occurs State of Economy Probability of State...
Consider the following information: Rate of Return if State Occurs State of Economy Probability of State of Economy Stock A Stock B Stock C Boom .20 .18 .45 .23 Good .20 .16 .18 .13 Poor .40 −.05 −.15 .02 Bust .20 −.15 −.35 −.11 a. Your portfolio is invested 20 percent each in Stocks A and C and 60 percent in Stock B. What is the expected return of the portfolio? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) b-1. What is the variance of this portfolio? (Do not round intermediate calculations. Round your answer to 5 decimal places.) b-2. What is the standard deviation? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.)
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Consider the following information: Rate of Return If State Occurs State of Probability of Economy State...
Consider the
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Consider the following information: Rate of Return if State Occurs State of Economy Probability of State...
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Stock B
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Good
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Your portfolio is invested 30 percent each in A and C, and 40
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.15
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Stock A
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