What Is the Expected Return on a Portfolio That Is

question 44

Multiple Choice

What is the expected return on a portfolio that is equally weighted between Stocks M and N given the following information? $$\begin{array} { l c c } { \text { State of } } & \text { Probability of } & \text { Rate of Return } \\\text { Econony } & \text { State of Economy } & \text { if State Occurs } \\ & &\begin{array}{ll}\text { Stock M } & \text { Stock N }\end{array}\\\text { Boom } & .13& \begin{array}{ll}.18 & \quad \quad -.14\end{array} \\\text { Normal } & .82 & \begin{array}{ll}.06 & \quad \quad.06\end{array} \\\text { Recession } & .05 &\begin{array}{ll} -.14 & \quad \quad .18\end{array}\end{array}$$

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The process by which a licensed healthcare practitioner authorizes the use of a specific drug for a patient to treat a condition or disease.

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A special home where people with disorders or disabilities live and are taught self-help, living, and working skills.