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Calculate the expected return and standard deviation of a portfolio comprised of $4,500 invested in stock...

Calculate the expected return and standard deviation of a portfolio comprised of $4,500 invested in stock S and $3,000 invested in stock T.

State of Economy Probability of State of Economy Rate of Return if State Occurs (Stock S) Rate of Return if State Occurs (Stock T)
Boom 10% 12% 4%
Normal 65% 9% 6%
Recession 25% 2% 9%

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jeff jeffy answered 2 years ago
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