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You are considering two investments, A and B, with the following information: State of economy Probability ? A B Pessimistic 0.25 -5% 12% Most likely 0.50 8% 8% Optimistic 0.25 12% -5% What is Beta for a portfolio consist of both Stock A and B? (assume A is the market portfolio? Choose… What is the correlation coefficient between stock A and stock B? Choose… What is the expected return for a portfolio consist of both Stock A and B with 60% of the fund invested in stock A and remaining in Stock B? Choose… Time left 1:58:58 What is the variance for a portfolio consist of both Stock A and B?? Choose… What is the ‘range’ for each investment, A and B? Choose… What is the standard deviation for a portfolio consist of both Stock A and B? Choose… Which stock is riskier? Choose… . What is the expected return for each investment, A and B? Choose… What is the standard deviation for each What is the standard deviation for each investment, A and B?

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