Ent There are three states of economy and you are given the following probabilities and returns for each stock for each state of economy. You invest 25% in stock A, 45% in stock B and 30% in stock C. Returns if State Occurs Probability of State of State of Economy Economy Boom 25% Normal 45% Recession 30% Stock A 25% 12% -9% Stock B 20% 10% -5% Stock C 15% 8% -12% a) Calculate the expected return of the portfolio. b) Calculate the standard deviation of the portfolio. 88