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Stocks A and B have the following returns: (Click on the following icon in order to copy its contents into a spreadsheet.) Stock A Stock
Stocks A and B have the following returns: (Click on the following icon in order to copy its contents into a spreadsheet.) Stock A Stock B 1 0.09 0.06 2 0.07 0.02 3 0.15 0.03 -0.05 0.02 5 0.07 -0.03 a. What are the expected returns of the two stocks? b. What are the standard deviations of the returns of the two stocks? c. If their correlation is 0.43, what is the expected return and standard deviation of a portfolio of 64% stock A and 36% stock B? are the expected returns two stocks? 4 a. The expected return for stock Ais . (Round to three decimal places.)
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