3/5 90% Use the following Information to answer questions 13 to 15 and work with FOUR decimal places throughout these questions. Round your FINAL answer for each question to TWO decimal places. Consider the data for Share Grey (G) and Share Slone (S). Grey is a high-tech electronics and appliance company, whereas Slone is a debt counseling and collecting company. Assume that you have an equally weighted portfolio. Rate of return of Grey (Ra) If the economic state occurs 25% 10% Rate of retum of Slone (Rs) If the economic state occurs 2% State of the Probability of the economic state economy occurring (P) Recession 0.35 Normal 0.30 Strong growth 0.35 Beta of share (B) Coefficient of variance (CV) Standard deviation of share (a) Correlation coefficient (PPE) Rate of return on a Treasury bill 18% 40% -5% 1.2 0.3 0.76 0.15 14.02% 2.25% 0.9718 7.75% 13 14 Calculate the expected return of Share G. (1) The expected return of Share S is 20.10%. Calculate the expected return of an equally weighted portfolio consisting of Share G and Share S. (2) Calculate the expected total risk of this equally weighted portfolio consisting of Share G and Share S (2) 15