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The Expected Return on the Market Is 12

Question 54

Multiple Choice

The expected return on the market is 12.5% with a standard deviation of 25%.The risk-free rate is 5.5%.What is the expected return on an efficient portfolio with a standard deviation of 30%?


A) 4.10%
B) 11.33%
C) 13.90%
D) 28.90%

Correct Answer:

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