You own a portfolio that has $1,700 invested in Stock A and $3,050 invested in Stock B. If the expected returns on these stocks are 12 percent and 15 percent, respectively, what is the expected return on the portfolio? (Do not round your intermediate calculations.)

You own a portfolio that has $1,700 invested in Stock A and $3,050 invested in Stock B. If the expected returns on these stocks are 12 percent and 15 percent, respectively, what is the expected return on the portfolio? (Do not round your intermediate calculations.)

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Question

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You own a portfolio that has $1,700 invested in Stock A and $3,050 invested in Stock B.
If the expected returns on these stocks are 12 percent and 15 percent, respectively, what
is the expected return on the portfolio? (Do not round your intermediate calculations.)
Multiple Choice
13.50%
13.07%
14.20%
14.62%
13.93%

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