You have been asked for your advice in selecting a portfolio of assets and have been supplied with the following data: E. You have been told that you can create two portfolios-one consisting of assets A and B and the other consisting of assets A and C-by investing equal proportions (50%) in each of the two component assets. a. What is the average expected return, r, for each asset over the 3-year period? b. What is the standard deviation, s, for each asset's expected return? c. What is the average expected return, rpor each of the the portfolios? d. How would you characterize the correlations of returns of the two assets making up each of the portfolios identified in part c? e. What is the standard deviation of expected returns, sp for each portfolio? f. Which portfclio do you recommend? Why? Portolio AB:% (Round to one decimal place.) Data Table (Click on the icon located on the top-right comer of the data table below in order to copy its contents into a spreadsheet.) Return Portfolio AC: [N (Round to one decimal place.) d. How would you characterize the correlations of returns of the 2 assets making up each of the 2 portfolios identified in part c? Portfolio AB is perfectly e. What is the standard deviation of expected returns, spor each portfolio? Portfolio AB:)% Portfolio AC: % (Round to two decimal places.) f. Which portfclio do you recommend? Why? (Select the best choice below.) 2018 2019 2020 Asset A 12% 14% 16% Asset B 14% 12% 10% Asset C 10% 12% 14% correlated, while Portfolio AC is perfectly correlated. (Select from the drop-down menus.) Print Done (Round to two decimal places.) A. B. O C. D. Portfolio AB is preferred since it provides the same return as Portfolio AC but with less risk, as measured by the standard deviation. Portfolio AB is preferred since it provides greater return than Portfolio AC but with more risk, as measured by the standard deviation. Portfolio AC is preferred since it provides the same return as Portfolio AB but with less risk, as measured by the standard deviation. Portfolio AC is preferred since it provides greater return than Portfolio AB but with more risk, as measured by the standard deviation