You have been given this probability distribution for the holding period return for a stock:

State of the Economy	Probability	HPR (Fund A)	HPR (Fund B)
Boom	.50	7%	25%
Normal growth	.3	-5%	10%
Recession	.2	20%	-25%

1. What are the expected holding period returns for Fund A and Fund B?

2. What are the expected standard deviations for Fund A and Fund B?

3. What are the covariance and correlation coefficient between the returns of Fund A and Fund B?