Question: Please show the steps to how you got the correct answer. Thank you. 1.You invest 70% of your money on a stock with expected return
Please show the steps to how you got the correct answer. Thank you.
1.You invest 70% of your money on a stock with expected return of 15% and standard deviation of 22%. The rest of your money is invested in T-bills with expected return of 7%. The expected return and standard deviation of your complete portfolio are
a.12.6% and 15.4%.
b.15% and 22%.
c.7% and 0%.
d.11% and 11%.
e.None of the above option is correct.
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