There Is a Probability of 25 Percent That the Economy

question 13

Multiple Choice

There is a probability of 25 percent that the economy will boom; otherwise,it will be normal.Stock Q is expected to return 18 percent in a boom and 9 percent otherwise.Stock R is expected to return 9 percent in a boom and 5 percent otherwise.What is the standard deviation of a portfolio that is invested 40 percent in Stock Q and 60 percent in Stock R?

• A).7 percent
• B)1.4 percent
• C)2.6 percent
• D)6.8 percent
• E)8.1 percent

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Sikh

A follower of Sikhism, a monotheistic religion that originated in the Punjab region of India during the 15th century.

Muslim

Pertains to an adherent of Islam, a monotheistic Abrahamic religion based on the Quran as considered by its followers to be the verbatim word of God.

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Pertaining to Hinduism, a major world religion originating on the Indian subcontinent and comprising several and varied systems of philosophy, belief, and ritual.

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An adherent of Buddhism, a spiritual tradition and religion based on the teachings of Buddha emphasizing liberation from suffering and the cycle of rebirth.