Question: You are constructing a two stock portfolio based on the information provided below. What dollar amount will you invest in each stock to achieve the

You are constructing a two stock portfolio based on the information provided below. What dollar amount will you invest in each stock to achieve the desired return goal?

Stock X Stock Y
Expected Return 14.0% 9.0%

Goal Return of Portfolio: 12.90%

Dollar Amount to Invest: $10,000

X = $7,800; Y = $2,200
X = $2,200; Y = $7,800
X = $6,800; Y = $3,200

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