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Please help answer B and C with steps for future reference. Stocks A and B have the following returns: a. What are the expected returns
Please help answer B and C with steps for future reference.
Stocks A and B have the following returns: a. What are the expected returns of the two stocks? b. What are the standard deviations of the returns of the two stocks? c. If their correlation is 0.46, what is the expected return and standard deviation of a portfolio of 70% stock A and 30% stock B ? a. What are the expected returns of the two stocks? The expected return for stock A is (Round to three decimal places.) The expected return for stock B is (Round to three decimal places.) b. What are the standard deviations of the returns of the two stocks? The standard deviation of the return for stock A is (Round to four decimal places.)Step by Step Solution
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