1. What are the portfolio weights for a portfolio that has 152 shares of Stock A that sell for $30 per share and 120 shares of Stock B that sell for $20 per share? (Round your answers to 4 decimal places. (e.g., 32.1616))

	Portfolio weights
Stock A
Stock B

2. You own a portfolio that has $3,400 invested in Stock A and $4,400 invested in Stock B. If the expected returns on these stocks are 12 percent and 15 percent, respectively, what is the expected return on the portfolio? (Round your answer to 2 decimal places. (e.g., 32.16))

Portfolio expected return

%

3. Consider the following information:

State of Economy	Probability of State of Economy			Portfolio Return if State Occurs
Recession		0.25		?	0.21
Normal		0.50			0.16
Boom		0.25			0.30

Calculate the expected return. (Round your answer to 2 decimal places. (e.g., 32.16))

Expected return

%

4. Consider the following information:

				Rate of Return if State Occurs
State of	Probability of
Economy	State of Economy			Stock A			Stock B			Stock C
Boom		0.58			0.14			0.22			0.40
Bust		0.42			0.16			0.06		?	0.05

a.	What is the expected return on an equally weighted portfolio of these three stocks? (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16))
		Expected return		%
b.	What is the variance of a portfolio invested 22 percent each in A and B and 56 percent in C? (Do not round intermediate calculations and round your answer to 6 decimal places. (e.g., 32.161616))
		Variance