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Problem 11-25 Portfolio Returns and Deviations [LO 2] Consider the following information on a portfolio of three stocks: State of Economy Probability of State of
Problem 11-25 Portfolio Returns and Deviations [LO 2]
Consider the following information on a portfolio of three stocks: |
State of Economy | Probability of State of Economy | Stock A Rate of Return | Stock B Rate of Return | Stock C Rate of Return |
Boom | .15 | .04 | .34 | .48 |
Normal | .53 | .12 | .24 | .22 |
Bust | .32 | .18 |
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