The table below shows the expected rates of return for three stocks and their weights in some portfolio:

		Stock A	Stock B	Stock C
	Portfolio weights	0.4	0.2	0.4
State	Probability		Expected returns
Recession	0.2	0.06	0.03	0.14
Boom	0.8	0.11	0.05	0.15

Attempt 1/5 for 10 pts.

Part 1

What is the portfolio return during a recession?

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Attempt 1/5 for 10 pts.

Part 2

What is the expected portfolio return?

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Attempt 1/5 for 10 pts.

Part 3

What is the standard deviation of the portfolio returns?