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Exhibit 73
Use the Information Below for the Following Problem(S)

question 56

Multiple Choice

Exhibit 7.3
Use the Information Below for the Following Problem(S)
Asset(A)  A sset (B)  (RA) =9%E(RB) =11%(σA) =4%(σB) =6%WA=0.4WB=0.6COVA,B=0.0011\begin{array} { c c } A sset (A) & \text { A sset (B) } \\\hline \left( R _ { A } \right) = 9 \% & E \left( R _ { B } \right) = 11 \% \\\left( \sigma _ { A } \right) = 4 \% & \left( \sigma _ { B } \right) = 6 \% \\W _ { A } = 0 .4 & W _ { B } = 0 .6 \\C O V _ { A , B } = 0 .0011\end{array}

-Refer to Exhibit 7.3.What is the standard deviation of this portfolio?


Definitions:

Western

Relating to the Western world, typically including cultures and countries in Europe and North America, characterized by distinct philosophical, political, and social traditions.

Educated

Pertaining to the acquisition of knowledge, skills, and competencies through formal schooling or life experiences.

Industrialized

Describes countries, societies, or economies that have developed extensive manufacturing and industry, often characterized by technological advancement and urbanization.

Generalizability

The extent to which the results of a study can be applied to or affect other settings, groups, or times beyond the original conditions of the study.

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