Following is data on 2 stocks and the market portfolio Probability of outcome Stock XStock Y Market Portfolio State of the economy Deep Recession Mild Recession Average Recession Mild Boom Strong Boom 0.05 0.20 0.50 0.20 0.05 3.0 6.0 11.0 14.0 19.0 2.0 9.0 12.0 15.0 26.0 13.0 15.0 29.0 43.0 Required a) Calculate the expected returns on stocks X and Y. [3 marks] b) Calculate the standard deviation of X and Y respectively, and determine which stock is riskier [4 marks] c) Determine the expected return on a portfolio of 70% of X and 30% of Y. [3 marks] d) Compare and contrast the risk of the market portfolio as opposed to the risks of the individual stocks within the portfolio. [3 marks] Explain what would happen if a stock with a beta of 0.4 was added to the portfolio above. [2 marks] e)