There are two stocks in the market, Stock A and Stock B. The price of Stock A today is $70. The price of Stock A next year will be $59 if the economy is in a recession, $82 if the economy is normal, and $92 if the economy is expanding. The probabilities of recession, normal times, and expansion are .15 , .65, and .20, respectively. Stock A pays no dividends and has a correlation of .65 with the market portfolio. Stock B has an expected return of 15.4 percent, a standard deviation of 33.5 percent, a correlation with the market portfolio of .19, and a correlation with Stock A of .31. The market portfolio has a standard deviation of 17.5 percent. Assume the CAPM holds