Solved

Exhibit 73
Use the Information Below for the Following Problem(S)

Question 56

Multiple Choice

Exhibit 7.3
Use the Information Below for the Following Problem(S)
Asset(A)  A sset (B)  (RA) =9%E(RB) =11%(σA) =4%(σB) =6%WA=0.4WB=0.6COVA,B=0.0011\begin{array} { c c } A sset (A) & \text { A sset (B) } \\\hline \left( R _ { A } \right) = 9 \% & E \left( R _ { B } \right) = 11 \% \\\left( \sigma _ { A } \right) = 4 \% & \left( \sigma _ { B } \right) = 6 \% \\W _ { A } = 0 .4 & W _ { B } = 0 .6 \\C O V _ { A , B } = 0 .0011\end{array}

-Refer to Exhibit 7.3.What is the standard deviation of this portfolio?


A) 3.68%
B) 4.56%
C) 4.99%
D) 5.16%
E) 6.02%

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions