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Consider the following information on returns and probabilities: Invest 1/2 of your money in Asset A and 1/2 in Asset B. State Probability A B

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Consider the following information on returns and probabilities: Invest 1/2 of your money in Asset A and 1/2 in Asset B. State Probability A B 4% Boom .25 12% Bust .75 6% 18% what is the standard deviation of the return on the portfolio? a. 1.7 b. 2.9 C. 3.9 d. 4.6 a e. 5.5 a f. 6.9 0 8. 7.5 O h. 9.0 O i. 8.2 j. 11

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