A. You have a $60,000 to invest in a portfolio. You want to put $36,000 investment into Cross- trak (C) and an $24000 investment into Deerpoints (D). State of the Economy Wi Boom Normal Recession Depression Probability E(RCS) E(RDS) % 0.25 8.00 16.00 0.40 12.00 10.00 0.20 14.00 0.00 0.15 15.50 -6.00 a. Calculate the portfolio expected return, E(Rp). b. Calculate the portfolio standard deviation, Op.moo c. Calculate the correlation coefficient. How does the correlation coefficient explain the results? Thres distri d. Assume the correlations of -.5, 0, .5 and 1. Recalculate the portfolio risk measures with these correlations. Explain how your results change. B. You now have a third asset to consider in your original portfolio. Snowshoe has returns of 7, 3,0 and 3% (.07, .03, 0.0, .03) expected under the four states from Boom through Depression respectively. Your new investment values are $30000 in Crosstrak, $18000 in Deerpoints and the remainder in Snowshoe. a. Calculate the expected return on this new portfolio. b. Calculate the variance and standard deviation of this new portfolio. c. How do the results of this portfolio compare to the results of the prior two asset portfolio? Explain