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Ameena is considering two securities, A and B with two different scenarios (black. and white), given the information below: Probability Return on Security A (%)

Ameena is considering two securities, A and B with two different scenarios (black. and white), given the information below:

Probability

Return on Security A (%)

Return on Security B (%)

Black

0.6

3.0%

6.5%

White

0.4

15.0%

6.5%

Suppose Ameena invested $2,500 in Security A and $3,500 in security B. Calculate the expected return of her portfolio.

Answer 1Choose...15.08%Asset (A)=6%, Asset (B)=2.6%Asset (A)=5.879%, Asset (B)=0Asset (A)=1.8%, Asset (B)=3.9%7.54%10%Asset (A)=7.8%, Asset (B)=6.5%Asset (A)=37.9, Asset (B)=05.04%6.00Asset (A)=34.56, Asset (B)=0Asset (A)=4.8%, Asset (B)=01%2.45%Asset (A)=0.763, Asset (B)=0Asset (A)=0, Asset (B)=1.330

Calculate the Variance of each security

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