Use the following scenario analysis for stocks X and Y to answer the questions. Round to the nearest 1/100 of 1% (i.e., 15.07%).

	Bear	Normal	Bull
	Market	Market	Market
Probability	25.00%	45.00%	30.00%
Stock X	-29.00%	12.00%	38.00%
Stock Y	-13.00%	7.00%	25.00%

3.a) What are the expected rates of return for stocks X and Y?

3.b) What are the standard deviations for of returns for stocks X and Y?

3.c) If the riskfree rate of return is 2.50%, what are the Sharpe Ratios for stocks X and Y? (Please assume that the standard deviations of the excess returns are the same as the standard deviations of returns calculated in part b.)

3.d) Assume you have a $150,000 portfolio and you invest $50,000 in stock X and the remainder in stock Y. What is the expected return for this portfolio?

Please show your work.