An investor is considering the purchase of Gryphon stock, which has returns given in the table below.

Scenario	Probability	Rate of Return
Recession	0.27	-3%
Normal Economy	0.51	11%
Boom	0.22	13%

Calculate the expected return and standard deviation of Gryphon. Round your answers to 2 decimal places.

Enter your answers below.

E(r) = Correct response: 7.660.01 %

Std. Dev. = Correct response: 6.530.01 %

This question has 3 parts (i.e., you will be clicking "Verify" 3 times)

The investor decides to diversify by investing $10,000 in Gryphon stock and $10,000 in Royal stock, which has an expected return of 11% and a standard deviation of 6.1%. The correlation coefficient for the two stocks' returns is 0.3. Calculate the expected return and standard deviation of the portfolio. Round your answers to 2 decimal places.

Enter your answers below.

E(r_p) = %

Std. Dev. = %