Expected return and standard deviation

Reference no: EM13751473

Consider the following information:

State Probability X Z

Boom .25 15% 10%

Normal .60 10% 9%

Recession .15 5% 10%

You have $10,000 for investment. What are the expected return and standard deviation for a portfolio with an investment of $6,000 in asset X and $4,000 in asset Z?

Reference no: EM13751473

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