Here Are the Expected Returns on Two Stocks: If

question 70

Multiple Choice

Here are the expected returns on two stocks: If you form a 50−50 portfolio of the two stocks,what is the portfolio's standard deviation?

• A) 8.1%
• B) 10.5%
• C) 13.4%
• D) 16.5%
• E) 20.0%

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Definitions:

Anticipation of Pain

The psychological and physiological response to expecting pain, which can modify perception and pain management strategies.

Lateral Prefrontal Cortex

A part of the frontal lobe of the brain involved in executive functions like decision-making, planning, and inhibiting inappropriate behaviors.

Anterior Cingulate Cortex

A part of the brain involved in a wide range of functions including emotion regulation, decision making, and impulse control.