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1. Expected Return, Variance and standard Deviation Consider the following information on returns and probabilities: State Probability X Y Boom. .25 15%. 10% Normal .60
1. Expected Return, Variance and standard Deviation
Consider the following information on returns and probabilities:
State Probability X Y
Boom. .25 15%. 10%
Normal .60 10%. 9%
Recession .15 5% 10%
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What are the expected return and standard deviation for Stock X and Stock Y?
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What are the expected return and standard deviation for a portfolio with an
investment of $6,000 in asset X and $4,000 in asset Y?
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Show work please
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