(Computing the standard deviation for a portfolio of two risky investments) Mary Guilott recently graduated from Nichols State University and is anxious to begin investing her meager savings as a way of applying what she has learned in business school. Specifically, she is evaluating an investment in a portfolio comprised of two firms' common stock. She has collected the following information about the common stock of Firm A and Firm B: a. If Mary invests half her money in each of the two common stocks, what is the portfolio's expected rate of return and standard deviation in portfolio return? b. Answer part a where the correlation between the two common stock investments is equal to zero. c. Answer part a where the correlation between the two common stock investments is equal to +1 . d. Answer part a where the correlation between the two common stock investments is cqual to -1 . e. Using your responses to questions a-d, describe the relationship between the correlation and the risk and return of the portfolio. a. If Mary decides to invest 50% of her money in Firm A's common stock and 50% in Firm B's common stock and the correlation between the two stocks is 0.40 , then the expected rate of return in the portfolio is \%. (Round to two decimal places.) \begin{tabular}{|lcc|} \hline & \begin{tabular}{c} Expected \\ Return \end{tabular} & \begin{tabular}{c} Standard \\ Deviation \end{tabular} \\ \hline Firm A's common stock & 0.15 & 0.15 \\ Firm B's common stock & 0.17 & 0.25 \\ Correlation coefficient & 0.40 & \\ \hline \end{tabular} (Click on the icon a in order to coov its contents into a soreadsheet)