Use the Table for the Question(s)below

question 61

Multiple Choice

Use the table for the question(s) below.
Consider the following expected returns, volatilities and correlations:

-A share market comprises 5 000 shares of company A and 2 000 shares of company B. Assume the share prices for companies A and B are $20 and $35, respectively. What proportion of the market portfolio is comprised of company A?

• A)58.8%
• B)$100 000
• C)$70 000
• D)41.2%

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Definitions:

Order They Melt

The sequence in which materials change from solid to liquid form due to temperature increases, often used in geological contexts to discuss rock or mineral melting points.

Convergent Boundary

A tectonic boundary where two or more tectonic plates move towards each other, often resulting in mountain building, earthquakes, and volcanic activity.

Oceanic Plate

A type of tectonic plate that consists mainly of basaltic crust and is denser than continental plates, often subducted under a continental plate at convergent boundaries.

Subducts

Occurs when one tectonic plate moves under another and sinks into the Earth's mantle due to plate tectonic processes.