The followings are the Stock X and Stock Y information: 3. Rate of Return if State Occurs State of the Probability of Economy State of Economy Stock 0.20 0.21 0.06 Stock Y 0.15 0.70 0.15 -0.25 0.09 0.44 Recession Normal Boom What are the expected return and standard deviation of Stock X and Stock Y? If you invest 70% in Stock X and 30% in Stock Y, what are the expected return covariance, and standard deviation of your portfolio? a. 4. Securitv Beta T-Bill-3.5% 1.22 S & P 500-9.5% 0.84 2.21 0.55 0.36 Based on the CAPM, what are the expected returns on the 5 stocks? If you invest 40% in the S & P 500, 20% in T-Bill, and 8 % each in the 5 stocks. what is the beta of your portfolio? a. b. The followings are the Stock X and Stock Y information: 3. Rate of Return if State Occurs State of the Probability of Economy State of Economy Stock 0.20 0.21 0.06 Stock Y 0.15 0.70 0.15 -0.25 0.09 0.44 Recession Normal Boom What are the expected return and standard deviation of Stock X and Stock Y? If you invest 70% in Stock X and 30% in Stock Y, what are the expected return covariance, and standard deviation of your portfolio? a. 4. Securitv Beta T-Bill-3.5% 1.22 S & P 500-9.5% 0.84 2.21 0.55 0.36 Based on the CAPM, what are the expected returns on the 5 stocks? If you invest 40% in the S & P 500, 20% in T-Bill, and 8 % each in the 5 stocks. what is the beta of your portfolio? a. b