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Question 2 (of 10) Save& Exit Submit value: 10.00 points The stock of Business Adventures sells for $45 a share. Its likely dividend payout and

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Question 2 (of 10) Save& Exit Submit value: 10.00 points The stock of Business Adventures sells for $45 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 $2.60 1.50 60 Stock Price S55 48 39 Boom Normal economy 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 return 8.671 % Standard deviation 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 6.831 % Standard deviation

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