Use the following table: Series Average return Large stocks 11.72 % Small stocks 16.42 Long-term corporate bonds
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Question:
Use the following table:
Series | Average return | ||
Large stocks | 11.72 | % | |
Small stocks | 16.42 | ||
Long-term corporate bonds | 6.21 | ||
Long-term government bonds | 6.10 | ||
U.S. Treasury bills | 3.81 | ||
Inflation | 3.10 | ||
a. Determine the return on a portfolio that was equally invested in large-company stocks and long-term corporate bonds.
Portfolio Return___________%
b. What was the return on a portfolio that was equally invested in small stocks and Treasury bills?
Portfolio Return___________%
Related Book For
Fundamentals of corporate finance
ISBN: 978-0470876442
2nd Edition
Authors: Robert Parrino, David S. Kidwell, Thomas W. Bates
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