Question: Flag question (b) Dot Williams is going to purchase two different sets of shares to form the initial holdings in her portfolio. McGrath Ltd shares
Flag question (b) Dot Williams is going to purchase two different sets of shares to form the initial holdings in her portfolio. McGrath Ltd shares have an expected return of 15 per cent, while Nathan Ltd shares have an expected return of 20 per cent. If Dot plans to invest 30 per cent of her funds in McGrath Ltd and the remainder in Nathan Ltd, then what will be the expected return from her portfolio? What if Dot Invests 70 per cent of her funds in McGrath Ltd shares
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