Exhibit 21-2 Moore Corporation Would Like to Simultaneously Invest in Malaysian Ringgit

question 46

Multiple Choice

Exhibit 21-2
Moore Corporation would like to simultaneously invest in Malaysian ringgit (MYR) and Romanian leu (ROL) for a three-month period. Moore would like to determine the expected yield and the variance of a portfolio consisting of 40% ringgit and 60% leu. Moore has identified the following information:

-Refer to Exhibit 21-2. What is the standard deviation of the portfolio contemplated by Moore Corporation?

• A) .624%.
• B) 7.950%.
• C) 1.040%.
• D) 10.200%.
• E) none of the above

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Definitions:

Random Sample

A subset of individuals chosen from a larger set where each individual has an equal chance of being selected.

After-School Program

Educational and recreational activities organized for children after the regular school day has ended, often aimed at furthering learning and social development.

Causation

The relationship between cause and effect where one event (the cause) is understood to be responsible for the occurrence of another event (the effect).

Correlation

A measure of the relationship between two variables or sets of data.