A portfolio consists of the following: $50,000 in a Standard & Poor's 500 index fund, $30,000 in a bond fund, and $20,000 in a foreign stock fund. The expected return on the index fund is 7%, the expected return on the bond fund is –3%, and the expected return on the foreign stock fund is 18%. What is the expected return on the portfolio? Multiple choice question. 0.06% 22% 6.2% 7.26%

A portfolio consists of the following: $50,000 in a Standard & Poor's 500 index fund, $30,000 in a bond fund, and $20,000 in a foreign stock fund. The expected return on the index fund is 7%, the expected return on the bond fund is –3%, and the expected return on the foreign stock fund is 18%. What is the expected return on the portfolio? Multiple choice question. 0.06% 22% 6.2% 7.26%

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter8: Analysis Of Risk And Return

Section: Chapter Questions

Problem 25P

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