Consider the following information:

State of Economy	Probability of State of Economy	Rate of Return if State Occurs
Stock A	Stock B	Stock C
Boom	.15	.40	.50	.30
Good	.60	.16	.10	.09
Poor	.20	.02	.05	.03
Bust	.05	.18	.25	.11

a.	Your portfolio is invested 25 percent each in A and C, and 50 percent in B. What is the expected return of the portfolio?

b-1.	What is the variance of this portfolio?

b-2.	What is the standard deviation?

\begin{tabular}{|c|c|} \hline a. Expected return & % \\ \hline b-1. Variance & \\ \hline b-2. Standard deviation & % \\ \hline \end{tabular}