Calculating Returns and Standard Deviations. Based on the following information,

State of Econony	Probablility of the State of	Rate of Return if State
		Stock A	Stock B
Recession	0.15	0.02	-0.3
Normal	0.55	0.1	0.18
Boom	0.3	0.15	0.31

a. Calculate the expected return and standard deviation for the two stocks.

b. Your portfolio is invested 30 percent each in A and 60 percent in B. What is the expected return of the portfolio?

c. What is the variance of this portfolio? The standard deviation?