Required: A project has a 0.7 chance of doubling your investment in a year and a 0.3 chance of halving your investment in a year. What is the standard deviation of the rate of return on this investment? (Do not round intermediate calculations. Round your answer to 2 decimal places.) The standard deviation of the market-index portfolio is 20%. Stock A has a beta of 1.50 and a residual standard deviation of 30%. Required: a. Calculate the total variance for an increase of 0.15 in its beta. (Do not round intermediate calculations.) b. Calculate the total variance for an increase of 35 in its tesidual standard deviation. (Do not round intermediate calculations.) The following figure shows plots of monthly rates of return and the stock market for two stocks. Required: a. Which stock is riskier to an investor currently holding a diversified portfolio of common stock? Stock A Stock B b. Which stock is riskier to an undiversified investor who puts all of his funds in only one of these stocks? Stock A Stock B