The following table, $,$ contains annual returns for the stocks of Company A $($A$)$ and Company B $($B$).$ The returns are calculated using end$-$of$-$year prices $($adjusted for dividends and stock splits$).$

Use the information for Company $A(A)$ and Company $B(B)$ to create an Excel spreadsheet that calculates the average returns for portfolios comprised of A and $B$ using the following,

respective, weightings: $(1\mathrm{.}0,0\mathrm{.}0),(0\mathrm{.}9,0\mathrm{.}1),(0\mathrm{.}8,0\mathrm{.}2),(0\mathrm{.}7,0\mathrm{.}3),(0\mathrm{.}6,0\mathrm{.}4),(0\mathrm{.}5,0\mathrm{.}5),(0\mathrm{.}4,0\mathrm{.}6),(0\mathrm{.}3,0\mathrm{.}7),(0\mathrm{.}2,0\mathrm{.}8),(0\mathrm{.}1,0\mathrm{.}9),$ and $(0\mathrm{.}0,1\mathrm{.}0).$ The average annual returns for A and $B$ are $17\mathrm{.}57\%$ and

$12\mathrm{.}88\%$ respectively. Also, calculate the portfolio standard deviation associated with each portfolio composition. The standard deviation for Company A and Company B and their correlation

coefficient are $24\mathrm{.}05\%,20\mathrm{.}52\%,$ and $0\mathrm{.}84902$ respectively.

$($Hint: Review Table $5\mathrm{.}2.)$

Enter the average return and standard deviation for a portfolio with $100\%$ Company A and $0\%$ Company $B$ in the table below.

Enter the average return and standard deviation for a portfolio with $90\%$ Company A and $10\%$ Company B in the table below.

Enter the average return and standard deviation for a portfolio with $70\%$ Company A and $30\%$ Company B in the table below.

Data table

$($Click on the icon here in order to copy its contents of the dat

a spreadsheet.$)$

$1$