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CH11 HW There is a 20 percent probability the economy will boom; otherwise, it will...

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CH11 HW There is a 20 percent probability the economy will boom; otherwise, it will be normal. Stock A is expected to return 18 percent in a boom and 6 percent otherwise. Stock B is expected to return 9 percent in a boom and 4 percent otherwise. What is the standard deviation of a portfolio that is invested 40 percent in Stock A and 60 percent in Stock B? Show your work on a worksheet and upload to the Chapter 11 Homework Dropbox. 0 4.2% O 3.12% O 3.62% 01.4% 06.6% 0.8%

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