Use the Table for the Question(s)below

question 12

Multiple Choice

Use the table for the question(s) below.
Consider the following three individuals portfolios consisting of investments in four stocks:
-Assuming that the risk-free rate is 4% and the expected return on the market is 12%,then required return on Peter's portfolio is closest to:

• A)20%
• B)22%
• C)18%
• D)16%

---

Definitions:

Amarna Period

A phase in ancient Egyptian history during the reign of Pharaoh Akhenaten, characterized by significant religious and artistic shifts, notably the worship of the sun disk, Aten.

Conservative

A political and social philosophy promoting traditional values and institutions, typically resistant to rapid change.

Formulaic

Pertaining to or based on a formula; following a fixed and conventional method or style, especially in art, literature, or music.

Palette

A flat surface on which an artist mixes paint colors, or metaphorically, the range of colors used in a particular painting or by an artist.