If Expected return of stock A is 12%, Expected return of stock B is 15% and Expected return of stock C is 8%. 30 percent of the portfolio is invested in A, 50 percent is invested in B and 20 percent is invested in C, the expected return of the portfolio is a. 11.2 percent b. 12.7 percent c. 9.2 percent d. 7.5 percent

If Expected return of stock A is 12%, Expected return of stock B is 15% and Expected return of stock C is 8%. 30 percent of the portfolio is invested in A, 50 percent is invested in B and 20 percent is invested in C, the expected return of the portfolio is a. 11.2 percent b. 12.7 percent c. 9.2 percent d. 7.5 percent

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter3: Risk And Return: Part Ii

Section: Chapter Questions

Problem 3P: Two-Asset Portfolio Stock A has an expected return of 12% and a standard deviation of 40%. Stock B...

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12.7 percent

9.2 percent

7.5 percent

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