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Please be careful with roundings. The expected return on Big Time Toys is 9 percent and its standard deviation is 13 percent. The expected return

image text in transcribedimage text in transcribedimage text in transcribedPlease be careful with roundings.

The expected return on Big Time Toys is 9 percent and its standard deviation is 13 percent. The expected return on Chemical Industries is 2 percent and ils standard deviation is 18 percent. Suppose the correlation coefficient for the two stocks' returns is 0.3. What are the expected and standard deviation of a portfolio with 50 percent invested in Big Time loys and the rest in Chemical Industnes? Enter your answers as percentages rounded to 2 decimal places. Do not include the percentage sign in your answers. E(rp) = Number Std. Dev. = Number Consider the following two stocks. Recession Normal Boom Probabilities (Pi) P1 = 29% P2 = 28% P3 = 43% Stock "a" -3% 9% 18% Stock "b" 2% -6% 29% What is the expected return of each stock? Enter your answers as a percentage rounded to 2 decimal places. Do not enter the percentage sign in your answer. Ta = fp = Click "Verify" to proceed to the next part of the question. Section Attempt 1 of 1 Verify An investor is considering the purchase of Gryphon stock, which has returns given in the table below. Scenario Recession Normal Boom Probability 10.11 10.57 Rate of Return 10% 10% 0.32 11% Calculate the expected return and standard deviation of Gryphon. Round your answers to 2 decimal places. Enter your answers below. E() = % Section Attempt 1 of 1 Verify

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