The Following Information Regarding a Portfolio of Two Stocks Are

question 233

Multiple Choice

The following information regarding a portfolio of two stocks are given: w₁ = .65,w₂ = .35,E(R₁) = .12,and E(R₂) = .14.Which of the following regarding the portfolio expected return,E(R_p) ,is correct?

• A).260
• B).127
• C).346
• D).374

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Definitions:

Optic Nerve

Nerve carrying visual signals from the eye to the optic chiasm.

Palpebrae

The medical term for eyelids, which protect and moisturize the eyes.

Sclera

White of the eye; white, opaque portion of the fibrous tunic of the eye.

Bulbar Conjunctiva

Conjunctiva that covers the surface of the eyeball.