A portfolio is comprised of two stocks a and b stock a has, Financial Management

+44 141 628 6080
[email protected]

A portfolio is comprised of two stocks a and b stock a has

A portfolio is comprised of two stocks, A and B. Stock A has a standard deviation of return of 5% while stock B has a standard deviation of return of 15%. The correlation coefficient between the returns on A and B is .2778. Stock A comprises 40% of the portfolio while stock B comprises 60% of the portfolio. The variance of return on the portfolio is __________.

A. .0035

B. .0055

C. .0075

D. .0095

View Complete Question

Request for Solution File

Ask an Expert for Answer!!

Financial Management: A portfolio is comprised of two stocks a and b stock a has

Reference No:- TGS01163302

Expected delivery within 24 Hours

Have a Question? (oR Write a Review)

Write atleast 100 words!!

Asked Questions

Examine gender inequality on a global scale

Question: Examine gender inequality on a global scale, considering how factors such as globalization, colonialism

What cases does female status tend to be highest

Question: In which of the following cases does female status tend to be highest? Group of answer choice

How the major schools of thought within sociology

Question: Discover how the major schools of thought within sociology explain social stratification.

Statement about political systems controlled by men

Multiple Choice Question Identify a true statement about political systems controlled by men. Multiple choice question.

Symbolic interactionism took off as a theoretical approach

Question: Symbolic interactionism took off as a theoretical approach to the study of deviance during the 1960s

How does the pyramid change

Staying with Nigeria, rewind the year to 1950. Using the +5 year control, fast forward in 5 year increments until you reach 2020.

How sociological models help understand mental illness

Based on the chapter by Allen Furr on the sociology of mental illness, How do sociological models help you understand mental illness differently

Request for Solution File

Ask an Expert for Answer!!

Financial Management: A portfolio is comprised of two stocks a and b stock a has

Reference No:- TGS01163302

Have a Question? (oR Write a Review)

Recent Questions Asked Financial Management

Q : Calculate a firms wacc given that the total value of the

Q : If your nominal rate of return is 1438 percent and your

Q : The return on the risky portfolio is 18 the risk-free rate

Q : If you want to take out a 30 year 25000000 mortgage at 55

Q : A portfolio is comprised of two stocks a and b stock a has

Q : We want to retire in 30 years and we shall need 50000

Q : Suppose you purchase a call option on 100 shares of xyz

Q : Mckenna sports authority is getting ready to produce a new

Q : In order to decide upon a corporate stock investment most