What Is the Standard Deviation of a Portfolio Which Is

question 89

Multiple Choice

What is the standard deviation of a portfolio which is comprised of $4,500 invested in stock S and $3,000 in stock T?

• A) 1.4%
• B) 1.9%
• C) 2.6%
• D) 5.7%
• E) 7.2%

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Definitions:

Red Beryl

A rare mineral that is red in color and is composed of beryllium, aluminum, and silicate.

Monopoly Power

The ability of a single seller in a market to control the prices of goods or services, usually due to lack of competition.

Local Water Company

A utility firm responsible for the supply and management of water within a specific local area.

Natural Monopoly

A market structure where a single firm can provide a product or service at a lower cost than any potential competitor, often due to economies of scale.