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A risky portfolio is composed of Stock A and Bond B. Stock A has an expected return of 14%, and Bond B has an expected
A risky portfolio is composed of Stock A and Bond B. Stock A has an expected return of 14%, and Bond B has an expected return of 8%. If you invest 40% in Stock A and 60% in Bond B, what is the expected return of the portfolio?
11.0% | ||
9.6% | ||
10.4% | ||
12.1% |
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