Question 3 (20 marks) Stocks X and Y have the following probability distributions of expected future returns: Probability Stock X Stock Y 0.15 -5% -8% 0.35 7% 10% 0.30 15% 18% 0.20 10% 25% Expected return Standard deviation Correlation between Stock X and Stock Y 6.42% 0.8996 i. Calculate the expected return for each stock. (5 marks) You have $2,000. You decide to put $500 of your money in Stock X and the rest in Stock Y. Calculate the expected return of your portfolio (5 marks) iv. Calculate the standard deviation of your portfolio based on the weight of Stocks X and Y stated in part (iii) (6 marks)