Question 5 1 pts A portfolio is formed with the following 2 stocks: Desert, Inc. has a standard deviation of it's returns equal to 12% Mountain, Inc. has a standard deviation of it's returns equal to 33% 90% of the portfolio is invested in Desert and the remainder of the portfolio is invested in Mountain The correlation coefficient (between Desert's and Mountain's returns) is equal to 0.8 What is the standard deviation of the portfolio? (Answer to the nearest 0.01%) Question 6 You own a portfolio containing the following 3 stocks - the dollar amounts invested in each stock, along with each stock's return are indicated below. Stock A B Amount Invested Return $700,000 -20% $500,000 50% $400,000 40% Calculate the portfolio return. (Answer to the nearest 0.01%) 1 pts