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state probability return of asset A return of asset B Recession 0.5 -0.11 0.16 normal 0.4 0.13 0.06 boom 0.1 0.27 -0.04 (1)calculate the standard

state probability return of asset A return of asset B

Recession 0.5 -0.11 0.16

normal 0.4 0.13 0.06

boom 0.1 0.27 -0.04

(1)calculate the standard deviations of Aand B

(2)calculate the covariance and correlation between Aand B

(3)calculate the standard deviation of the portfolio that invests 30% in stock A and the rest in the stock B

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