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The following table reports forecasted returns for the stock of two different companies under three possible...

The following table reports forecasted returns for the stock of two different companies under three possible states of the economy:

State Probability Stock A Stock B
Expansion 15% 12.28% 19.49%
Average 65% 9.82% 5.26%
Recession 20% -1.81% 3.25%

What is the standard deviation on a portfolio that consists of 45% of funds allocated to Stock A and the rest in Stock B?

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