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:

Socialization

The process by which individuals learn and adopt the norms, values, and behaviors appropriate to their society.

Sociologically

Pertaining to or involving the study of the development, structure, and functioning of human society and the behavior of individual people and groups within it.

Significant Others

Individuals who have a profound influence on one's self-concept and social identity, typically through close personal relationships.

Agents of Socialization

These are individuals, groups, and institutions that shape an individual's social development and norms, including family, peers, schools, and media.