Exhibit 76
Use the Information Below for the Following Problem(S)

question 37

Multiple Choice

Exhibit 7.6
Use the Information Below for the Following Problem(S)
$$\begin{array} { c c } Asset (A) & \text { Asset(B) } \\\mathrm { E } \left( R _ { A } \right) = 16 \% & \mathrm { E } \left( \mathrm { R } _ { B } \right) = 10 \% \\\left( \sigma _ { A } \right) = 9 \% & \left( \sigma _ { B } \right) = 7 / \\W _ { A } = 0 .5 & W _ { B } =0 .5 \\C O V _ { A , B } = 0 .0009\end{array}$$
-Refer to Exhibit 7.6.What is the standard deviation of this portfolio?

• A) 6.08%
• B) 5.89%
• C) 7.06%
• D) 6.54%
• E) 7.26%

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Definitions:

Tchebysheff's Theorem

A statistical theorem stating that for any set of data, the proportion of results that lie within a certain number of standard deviations from the mean is at least 1-1/k^2, for k>1.

Z Score

A Z score, or standard score, is the number of standard deviations an observation is from the mean, used in statistics to compare observations from different datasets.

Chemistry Quiz

A form of assessment used to evaluate a student's knowledge and understanding of chemistry concepts and principles.

Introductory Statistics

A basic course or concept that introduces principles and methods for collecting, analyzing, interpreting, and presenting data.