Use the following information on Stocks X and Y to answer questions 1 through 3 (round to the nearest percent). Probability Stock X's return Stock Y's return Bear Market 0.2 -25% -15% Normal Market 0.5 10% 20% Bull Market 0.3 50% 10% 1) What are the expected rates of return for stocks X and Y? 2) What are the standard deviations of returns on Stocks X and Y? 3) The correlation between the returns of Stocks X and Y is 4) Assume that of your $10,000 portfolio, you invest $9,000 in Stock X and $1,000 in Stock Y. What is the expected return on your portfolio? 5) If Stocks X and Y are combined in a portfolio with 50% invested in each company, the standard deviation of returns on the portfolio would be Use the following information on Stocks X and Y to answer questions 1 through 3 (round to the nearest percent). Probability Stock X's return Stock Y's return Bear Market 0.2 -25% -15% Normal Market 0.5 10% 20% Bull Market 0.3 50% 10% 1) What are the expected rates of return for stocks X and Y? 2) What are the standard deviations of returns on Stocks X and Y? 3) The correlation between the returns of Stocks X and Y is 4) Assume that of your $10,000 portfolio, you invest $9,000 in Stock X and $1,000 in Stock Y. What is the expected return on your portfolio? 5) If Stocks X and Y are combined in a portfolio with 50% invested in each company, the standard deviation of returns on the portfolio would be