Use the Information for the Question(s)below

question 7

Multiple Choice

Use the information for the question(s) below.
Suppose you invest $20,000 by purchasing 200 shares of Abbott Labs (ABT) at $50 per share,200 shares of Lowes (LOW) at $30 per share,and 100 shares of Ball Corporation (BLL) at $40 per share.
-Which of the following equations is INCORRECT?

• A)Cov(R_i,R_j)= Σ(R_i - R_i)(R_j - R_j)
• B)Var(R_p)= x₁^2Var(R₁)+ x₂^2Var(R₂)+ 2X₁X₂Cov(R₁,R₂)
• C)Corr(R_i,R_j)=
• D)Cov(R_i,R_j)= E[(R_i - E[R_i])(R_j - E[R_j])]

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