Use the Following Information for 14-15

question 32

Multiple Choice

Use the following information for 14-15.
Assume that you have a choice of two assets, A and B, and a portfolio of an equal share of the two assets. Assume also that the assets have the following statistics:
Table 10.1:

-See Table 10.1.If your portfolio includes a combination of 20% Asset A and 80% Asset B,then your expected return is:

• A) 16.8 %
• B) 18 %
• C) 19.2 %
• D) 24 %

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