The Expected Return of a Portfolio of Risky Securities

question 54

Multiple Choice

The expected return of a portfolio of risky securities

• A)is a weighted average of the securities' returns.
• B)is the sum of the securities' returns.
• C)is the weighted sum of the securities' variances and covariances.
• D)is a weighted average of the securities' returns and the weighted sum of the securities' variances and covariances.

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Definitions:

Packing

The process of arranging and securing products for shipping, storage, or sale, ensuring their protection and efficient handling.

Downstream Activity

Refers to the later stages in the supply chain, typically involving the distribution, sale, and customer service aspects of a business.

FedEx

A multinational delivery services company known for its overnight shipping service and pioneering a system that could track packages and provide real-time updates on package location.

UPS

Uninterruptible Power Supply, a device that provides emergency power to a load when the input power source fails.