What Is the Expected Rate of Return on a Portfolio

question 73

Multiple Choice

What is the expected rate of return on a portfolio 18% of which is invested in an S&P 500 Index fund, 65% in a technology fund, and 17% in Treasury Bills. The expected rate of return is 11% on the S&P Index fund, 14% on the technology fund and 2% on the Treasury Bills.

• A) 10.25%
• B) 8.33%
• C) 11.42%
• D) 9.00%

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Definitions:

Maintenance Department

The Maintenance Department is a functional division within a company responsible for the upkeep, repair, and preservation of equipment, facilities, and infrastructure.

Sequential Method

A technique in cost accounting where support department costs are allocated to other departments in a specific sequential order, taking into consideration the services provided by each support department.

Janitorial Department

A segment of a business or organization responsible for cleaning, maintenance, and upkeep of buildings and facilities.

Square Footage

The area of a space measured in square feet, often used in real estate to quantify the size of buildings or rooms.