Considering the world economic outlook for the coming year and estimates of sales and earnings, we expect the rate of return for the stocks ABC and SGF with the following probabilities: Probability 0.35 0.4 SGF 10% ABC 36% 14% 0% 8% 0.25 4% 1. For each stock, calculate the expected return and the standard deviation: 2. Calculate the covariance and the correlation coefficient between the rates of return; 3. If you invest 80% in ABC and 20 % in SGF, what are the expected return and the standard deviation of your portfolio P1; 4. Plot the portfolio frontier for ABC and SGF stocks; 5. If you invest S 8,000 in stock ABC and $ 4,000 in stock SGF, compute the expected return and the standard deviation of your portfolio P2