Question: 1. The following table has the returns data for Techno Plus Ltd. and Infotech Ltd. for six years. Year % Return on Share of

1. The following table has the returns data for Techno Plus Ltd.

1. The following table has the returns data for Techno Plus Ltd. and Infotech Ltd. for six years. Year % Return on Share of % Return on Share of Techno Plus Ltd. -10 1 2 12 3 16 4 14 5 6 6 9 Infotech Ltd. -12 10 5 12 (a) Find out the rate of return and risk for these shares. [4 MARKS] 18 7 (b) What would be the rate of return and risk on the portfolio made up of 50% investment in shares of Techno Plus Ltd. and 50% investment in Infotech Ltd. [4 MARKS] (c) Which amongst the above Portfolio or each of the two stocks would be a better investment? Use a suitable and relevant measure. [2 MARKS]

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