What Is the Expected Return on a Portfolio Comprised of $3,000

question 318

Multiple Choice

What is the expected return on a portfolio comprised of $3,000 in stock K and $5,000 in stock L if the economy is normal?

• A) 3.75%
• B) 5.25%
• C) 5.63%
• D) 5.88%
• E) 6.80%

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Definitions:

Multi-Product Exporter

A company that exports a variety of different products rather than specializing in a single product line.

Ethnocentric

The belief in the inherent superiority of one's own ethnic group or culture over others.

Monochronic

A cultural orientation that values doing one task at a time, emphasizing schedules, punctuality, and a linear approach to organizing time.

Geocentric

A viewpoint in international business that sees the world as a potential market with no inherent focus on any specific national market, promoting a global approach to marketing and production strategies.