Security X Has Expected Return of 12% and Standard Deviation

question 13

Multiple Choice

Security X has expected return of 12% and standard deviation of 20%.Security Y has expected return of 15% and standard deviation of 27%.If the two securities have a correlation coefficient of 0.7,what is their covariance?

• A)0.038
• B)0.070
• C)0.018
• D)0.013
• E)0.054

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Definitions:

Corporate Campaigns

Strategies employed by unions or activist groups targeting a company’s practices or policies in order to bring about change, often through public, media, and legal pressure.

NLRA

The National Labor Relations Act, a foundational statute in United States labor law that protects the rights of employees to engage in collective bargaining and other union activities.

Corporate Campaign

A strategy used by labor unions to put pressure on a company by mobilizing public, financial, and political support to achieve negotiating aims.

NFL Fans

Individuals who enthusiastically follow and support National Football League teams, often showing their loyalty through attending games, watching broadcasts, and purchasing merchandise.