USE THE INFORMATION BELOW FOR THE FOLLOWING PROBLEM(S)
$\sigma$ I), Covariance (COV_i,j), and Asset Weight (W_i) Are as Shown

question 59

Multiple Choice

USE THE INFORMATION BELOW FOR THE FOLLOWING PROBLEM(S)

-Refer to Exhibit 6.2. What is the expected return of a portfolio of two risky assets if the expected return E(R_i) , standard deviation ( $\sigma$ i) , covariance (COV_i,j) , and asset weight (W_i) are as shown above?

• A) 18.64%
• B) 20.0%
• C) 22.5%
• D) 13.65%
• E) 11%

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Definitions:

Patterns and Variations

Regularities and differences found in data or phenomena, often analyzed to understand trends, relationships, or underlying causes.

Coding and Quantifying

The process of categorizing qualitative data into quantitative form, allowing for numerical analysis and statistical assessment.

Metalingual Function

One of Jakobson’s semiotic functions. Establishes the agreed-upon meaning for words—for example, by establishing that Rose refers to the name of a girl, not a flower.

Agreed Meaning

Shared understanding among individuals or groups about the interpretation of a term or concept.