What Is the Variance of the Returns on a Portfolio

question 99

Multiple Choice

What is the variance of the returns on a portfolio that is invested 60 percent in stock S and 40 percent in stock T?

• A).000017
• B).000023
• C).000118
• D).000136
• E).000161

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Definitions:

Capital Costs

Expenditures incurred to acquire, upgrade, or maintain physical assets such as buildings, machinery, or equipment, pivotal for long-term business operations.

Human Resource

The department in an organization concerned with the recruitment, management, and direction of people who work in it.

Competitive Advantage

The attributes that allow an organization to outperform its competitors, including cost structure, product offerings, brand reputation, and customer service.

Pantene

A brand of hair care products marketed by Procter & Gamble, known for shampoos, conditioners, and styling products.