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Financial Management question There are two assets and three states of the economy, answer questions 34 to 36. State of Economy Probability of State of

Financial Management question

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There are two assets and three states of the economy, answer questions 34 to 36. State of Economy Probability of State of Economy 0.30 Recession Normal Boom Return of Stock A if State Occurs -0.10 0.20 0.30 Return of Stock B if State Occurs 0.08 0.15 0.20 0.20 34. Suppose you have $100,000 total. If you put $30,000 in Stock A and the remainder in Stock B, what are the portfolio returns in each state? 35. Suppose you have $100,000 total. If you put $30,000 in Stock A and the remainder in Stock B, what will be the expected return of your portfolio? 36. Suppose you have $100,000 total. If you put $30,000 in Stock A and the remainder in Stock B, what will be the standard deviation of your portfolio

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