The Historical Returns Data for the Past Three Years for Stock

question 1

Multiple Choice

The historical returns data for the past three years for Stock B and the stock market portfolio are: Stock B: 24%, 0%, 24%, Market Portfolios: 10%, 12%, 20%. Calculate the variance of the market portfolio returns.

• A) 192
• B) 128
• C) 28
• D) None of the above

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Definitions:

Activity Base

A measure used for allocating costs to cost objects based on the number of transactions or events that take place in the process of providing a service or manufacturing a product.