What is the expected return on the portfolio

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1) You own a portfolio that has $2,350 invested in Stock A and $4,000 invested in Stock B. If the expected returns on these stocks are 9 percent and 15 percent, respectively, what is the expected return on the portfolio?

A) 11.22%

B) 12.78%

C) 12.00%

D) 13.04%

E) None of these are correct.

2) You own a stock portfolio invested 25 percent in Stock Q, 25 percent in Stock R, 10 percent in Stock S, and 40 percent in Stock T. The betas for these four stocks are 1.72, 0.75, 0.92, and 1.34, respectively. What is the portfolio beta?

A) 1.25

B) None of these are correct.

C) 1.31

D) 1.27

E) 1.18

Reference no: EM131911069

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