Use the Following Information to Answer the Question(s)below

question 81

Multiple Choice

Use the following information to answer the question(s) below.
Your investment portfolio consists of $10,000 worth of Google stock.Suppose that the risk-free rate is 4%,Google stock has an expected return of 14% and a volatility of 35%,and the market portfolio has an expected return of 12% and a volatility of 18%.Assume that the CAPM assumptions hold.
-The expected return on the alternative investment having the highest possible expected return while having the same volatility as Google is closest to?

• A)21.6%
• B)19.6%
• C)23.4%
• D)35.0%

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Definitions:

Nonrenewable Resources

Natural resources that cannot be replenished or replaced within a human lifespan, such as fossil fuels and minerals.

Squandered Resources

Resources that have been wasted or misused, often resulting in lost opportunities or damage.

Landscape Diversity

Variety of habitat elements within an ecosystem (e.g., plains, mountains, and rivers).

Species Diversity

A measure of biodiversity that refers to the variety of species within a particular region.