You are looking to invest your money in Stock ABC and Stock XYZ$.$ Their historical returns

for the past $6$ years are found in the following table.

a$)$ What is the sample standard deviation and average return $($arithmetic mean$)$ for each

stock? What is the correlation of returns $($correlation coefficient$)?$

b$)$ You are thinking of investing in a portfolio containing these $2$ stocks. Calculate the

return and standard deviation of returns if you held these portfolios for the past $6$ years

with the following weightings.

c$)$ Which Portfolio would you prefer and why?