What is the expected return on a portfolio of two risky assets if the expected return E(R _i ), the standard deviation (σ _i ), the covariance (COV _i,j ) and the asset weight (W _i ) are as is shown above?

Figure 7.1
USE THE INFORMATION BELOW FOR THE FOLLOWING PROBLEMS

Active (A)	Active (B)
E( RA ) = 10%	E( RB ) = 15%
(s A ) = 8%	(s B ) = 9.5%
WA = 0,25	W B = 0,75
The A,B = 0,006

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