2) A portfolio is constituted with three securities having the following characteristics: Stock Return% A B 17.5 24.8 15.7 Standard deviation 32 26 18 Correlation with stock A B 1.0 -0.80 -0.80 10 0.40 0.65 0.40 0.65 1.0 If the portfolio is constructed with 15 percent of stock A, 50 percent of stock B and 35 percent of stock C, what are the expected return and risk of the portfolio? (14)