Use the following scenario analysis for Stocks X and Y to answer the following questions.

a)What are the expected rates of return for Stocks X and Y?

b)What are the standard deviations of returns on Stocks X and Y?

c)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?

	Bear Market	Normal Market	Bull Market
Probability	0.2	0.5	0.3
Stock X	-20%	18%	50%
Stock Y	-15%	20%	10%