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Consider the following information on a portfolio of three stocks: State of Economy Probability of State of Economy Stock A Rate of Return Stock B

Consider the following information on a portfolio of three stocks: State of Economy Probability of State of Economy Stock A Rate of Return Stock B Rate of Return Stock C Rate of Return Boom .12.09.34.53 Normal .53.17.19.27 Bust .35.18.18.37 Required: (a) If your portfolio is invested 36 percent each in A and B and 28 percent in C, what is the portfolios expected return, the variance, and the standard deviation? (Do not round intermediate calculations. Round your variance answer to 5 decimal places (e.g.,32.16161) and input your other answers as a percentage rounded to 2 decimal places (e.g.,32.16).)

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