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30 Points) A portfolio is invested 40 percent in stock A, 30 percent in stock B, and 30 percent in stock C. What is the

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30 Points) A portfolio is invested 40 percent in stock A, 30 percent in stock B, and 30 percent in stock C. What is the expected return and standard deviation of this portfolio? State of Probability of Rate of Return if State Occurs Economy State of Economy Stock A Stock B Stock Boom 10 05 .16 23 Normal .70 08 09 511 Recession 20 15 03 - 25

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