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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 .13.10.35.42
Normal .52.18.30.28
Bust .35.19.29.38
If your portfolio is invested 42 percent each in A and B and 16 percent in C, what is the portfolios expected return, the variance, and the standard deviation?
Note: Do not round intermediate calculations. Round your variance answer to 5 decimal places, e.g.,.16161. Enter your other answers as a percent rounded to 2 decimal places, e.g.,32.16.
If the expected T-bill rate is 4.65 percent, what is the expected risk premium on the portfolio?
Note: Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g.,32.16.

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