1. Stock A has an expected return of 20 percent and a standard deviation of 38 percent. Stock B has an expected return of 26 percent and a standard deviation of 42 percent. Calculate the expected return and standard deviations for portfolios with the 6 different weights shown below assuming a correlation coefficient of 0.28 between the returns of stock A and B.

W_A W_B

1.00 0.00

0.80 0.20

0.60 0.40

0.40 0.60

0.20 0.80

0.00 1.00