Question: Pretend the expected return and standard deviation for the S&P 500 are 8% and 22%, respectively, and the current T-Bill rate is 2%. What is
Pretend the expected return and standard deviation for the S&P 500 are 8% and 22%, respectively, and the current T-Bill rate is 2%. What is the expected return of a portfolio consisting of $59,000 in the S&P 500 and $62,000 in T-Bills?
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