Suppose You Own 100 Shares of CyberChase Corporation and 200

question 59

Multiple Choice

Suppose you own 100 shares of CyberChase Corporation and 200 shares of NetSurfer Corporation.At the time of purchase,the stocks of CyberChase and NetSurfer were trading at $25 and $15 per share,respectively.What is the expected value of the portfolio if CyberChase has an expected return of 8 percent and NetSurfer has an expected return of 13 percent?

• A) $6,065
• B) $6,090
• C) $7,095
• D) $7,270

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Definitions:

Funds

Financial resources set aside for a specific purpose, often pooled together from multiple sources and managed to achieve a specific investment goal.

Collecting

The action or hobby of gathering items of a particular type, often of cultural, historical, or financial value.

Transferred Check

A check that has been signed over by the original recipient to a new recipient, allowing the latter to cash or deposit the check.

Intermediary

An entity that acts as the middleman between two parties in a transaction, helping to facilitate communication and the exchange of goods, services, or information.