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Exhibit 711
Use the Information Below for the Following Problem(S)

question 84

Multiple Choice

Exhibit 7.11
Use the Information Below for the Following Problem(S)
 Asset 1 Asset 2 E(R1) =0.28E(R2) =0.12E(σ1) =0.15E(σ2) =0.11W1=0.42W2=0.58r12=0.7\begin{array}{ccc}\text { Asset } 1 & & \text { Asset 2 } \\\hline E\left(R_{1}\right) =0.28& & E\left(R_{2}\right) =0.12 \\E\left(\sigma_{1}\right) =0.15 & &E\left(\sigma_{2}\right) =0.11 \\W_{1}=0.42 & & W_{2}=0.58 \\& r_{12}=0.7 &\end{array}
-Refer to Exhibit 7.11.Calculate the expected standard deviation of the two stock portfolio.

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