iPad 1:52 PM *59%- Question 2 (of 10) Show correct answer Award: 10 out of 10.00 points The stock of Business Adventures sells for $40 a share. Its likely dividend payout and end-of-year price depend on the state of the economy by the end of the year as follows: Dividend Boom Normal Recession $2.80 1.80 90 Stock Price $48 43 34 a. Calculate the expected holding-period return and standard deviation of the holding-period return. All three scenarios are equally likely. (Do not round intermediate calculations. Round your answers to 2 decimal places.) Expected retun Standard deviation 8,75 % 16.40 % b. Calculate the expected return and standard deviation of a portfolio invested half in Business Adventures and half in Treasury bills. The return on bills is 5%. (Do not round intermediate calculations. Round your answers to 2 decimal places.) Expected return Standard deviation 6.88 0 % 8.20 0 % eBook & Resources