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Now consider a portfolio that invests 75% in Alpha and 25% in Beta. What are the expected returns if the economy is strong, normal, and weak?
17%, 14%, 12%
8.5%, 7%, 6%
10.25%, 6.5%, 4%
125, 8%, 6%
UnansweredQuestion 7
0 / 1 pts
Using the returns from question 6 (which depend on how the economy does), what is the expected return for the portfolio?
5.25%
7.125%
8.25%
8.45%
UnansweredQuestion 8
0 / 1 pts
What is the standard deviation of returns for the portfolio?
2.25%
5.575%
6.25%
8.363%
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