Question Completion Status: Moving to the next question prevents changes to this answer. Question 10...

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Question Completion Status: Moving to the next question prevents changes to this answer. Question 10 Consider a $30,000 portfolio which consists of stocks S and T. Stock S is valued at $10,000 and Stock Tis valued at $20,000. State of Economy Probability of State of Economy Returns of Stock S Returns of Stock T Boom 5% 11% 5% Normal 85% 8% 6% Recession 10% -5% 8% (1) What is the expected rate of return of the portfolio? (2) What is the standard deviation of the portfolio? For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac). BI U S Paragraph Arial v v

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