Equally weighted portfolio of these three stocks

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Reference no: EM132046996

Consider the following information: Rate of Return if State Occurs State of Economy Probability of State of Economy Stock A Stock B Stock C Boom 0.66 0.27 0.33 0.29 Bust 0.34 0.19 0.15 0.11 Requirement 1: What is the expected return on an equally weighted portfolio of these three stocks? (Do not round your intermediate calculations.) Requirement 2: What is the variance of a portfolio invested 10 percent each in A and B and 80 percent in C? (Do not round your intermediate calculations.)

Reference no: EM132046996

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