If You Invest 25% of Your Money in C and 75

question 20

Multiple Choice

If you invest 25% of your money in C and 75% in D,what would be your portfolio's expected rate of return and standard deviation?

• A)9.891%; 8.70%
• B)9.945%; 11.12%
• C)8.225%; 8.70%
• D)10.275%; 11.12%
• E)none of the above
• Consider two perfectly negatively correlated risky securities K and L.K has an expected rate of return of 13% and a standard deviation of 19%.L has an expected rate of return of 10% and a standard deviation of 16%.

---

Definitions:

Ethical

Pertaining to or dealing with morals or the principles of morality; pertaining to right and wrong in conduct.

Progress Report

A document that describes the status of a project or task, detailing what has been completed and what remains to be done.

Status Report

A document or update that provides information on the current status of a project, task, or operation.

Directive

A formal instruction or order given by someone in authority, often used in organizational or governmental contexts.