2 4 5 10 11 12 14 15 16 17 20 Question 7 5 points The expected return on ABC next year is 15% with a standard deviation of 20%. The expected return on GHI next year is 22% with a standard deviation of 28%. The correlation between the two stocks is 0.7. If John Cena makes equal investments in ABC (50%) and GHI (50%), what is the standard deviation of his portfolio Cost of common equity K. D.(+9). Return or Cost of common equity: E() + [E()- D Cost of Preferred Stock: Ty Value of Preferred Stock WACC =W.K(1-1) + W... K+W... Elro) - W, * Ein)] + W, Xr)] + [W, Er)] + W. x Er) Purtstidio = wo+ Wzo + 2W, Wapin Br=WB, +W 8, +...+W. Total Fixed Costs (F) Price per Variable Cont Unit (P) Total Pleed Costa Contributin Margie peralt ( pe Pandan Cut Other Than You Tuled unti-Dependi Ca Mars) MacBook en OOO 52 Unit (P) per Unit (V) per Unit Qash break-even = Fixed Operating Costs Other Than Depreciation per Year Price per Variable Cost Unit (P) per Unit (V) Total Pixed Costs (F)-Depreciation Contribution Margin per Unit 1 DOL = Change in Net Operating Income (NOI) % Change in Sales 15.00% 19.00% 12.47% 22.18% A Moving to another question will save this response