A Portfolio Consisting of Four Stocks Is Expected to Produce

question 30

Multiple Choice

A portfolio consisting of four stocks is expected to produce returns of 9%, 11%, 3% and 17%, respectively, over the next four years. What is the standard deviation of these expected returns?

• A) 5.00%
• B) 5.77%
• C) 25.00%
• D) 33.33%

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Definitions:

Japanese-American Internment

Policy adopted by the Roosevelt administration in 1942 under which 110,000 persons of Japanese descent, most of them American citizens, were removed from the West Coast and forced to spend most of World War II in internment camps; it was the largest violation of American civil liberties in the twentieth century.

Double-V Campaign

The Double-V Campaign was an initiative during World War II by African Americans to fight for victory against fascism abroad and racial discrimination at home.

Discrimination

Unfair or prejudicial treatment of people based on characteristics such as race, age, sex, or disability instead of individual merit.

NAACP

The National Association for the Advancement of Colored People, a civil rights organization in the United States formed in 1909 to fight prejudice, lynching, and Jim Crow segregation.