Question: Stock A: expected return= 10%; standard deviation= 40% Stock B: expected return= 20%; standard deviation= 23% You short sold 200 shares of A at 15

Stock A: expected return= 10%; standard deviation= 40%

Stock B: expected return= 20%; standard deviation= 23%

You short sold 200 shares of A at 15 $ per share and purchased 500 shares of B at 15$ per share.Thecorrelation between securities is -0.32. What is the standard deviation of theportfolio?

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