Consider the following information: a. Your portfolio is invested 30 percent each in A and C, and
Question:
Consider the following information:
a. Your portfolio is invested 30 percent each in A and C, and 40 percent in B. What is the expected return of the portfolio?
b. What is the variance of this portfolio? The standard deviation?
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ANSWER To calculate the expected return of the portfolio we need to multiply the rate of return of each stock by its corresponding probability and the...View the full answer
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Related Book For
Fundamentals of corporate finance
ISBN: 978-0073382395
9th edition
Authors: Stephen Ross, Randolph Westerfield, Bradford Jordan
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