Question $7(1$ point$)$

You put $60\%$ of your money in a stock portfolio that has an expected return of $20\%$

and a standard deviation of $45\%.$ You put the rest of your money in a risky bond

portfolio that has an expected return of $10\%$ and a standard deviation of $30\%.$ The

stock and bond portfolios have a correlation of $0\mathrm{.}3.$ The standard deviation of the

resulting portfolio will be

$27\mathrm{.}8\%$

$32\mathrm{.}7\%$

$37\mathrm{.}2\%$

$41\mathrm{.}1\%$