What is the expected return of each asset?

b.What is the variance and the standard deviation of each asset?

c.What is the expected return of a portfolio with

12%

in asset J,

51%

in asset K, and

37%

in asset L?

d.What is the portfolio's variance and standard deviation using the same asset weights from part

(c)?

Hint: Make sure to round all intermediate calculations to at least seven (7) decimal places. The input instructions, phrases in parenthesis after each answer box, only apply for the answers you will type.

State of Economy		Probability of State		Return on Asset J in State		Return on Asset K in State		Return on Asset L in State
Boom		0.28		0.060		0.220		0.290
Growth		0.36		0.060		0.100		0.230
Stagnant		0.24		0.060		0.065		0.070
Recession		0.12		0.060		0.140		0.220