Question
If we put $4,000 into security A, $6,000 in security B and $3,000 into security C, what would be our expected return of our portfolio
If we put $4,000 into security A, $6,000 in security B and $3,000 into security C, what would be our expected return of our portfolio of stock A, B and C?
| State | Probability | Security A Return | Security B Return | Security C Return |
| Recession | 0.10 | -10% | 2% | 5% |
| Slow | 0.30 | -2% | 4% | 8% |
| Moderate | 0.40 | 8% | 6% | 2% |
| Prosperity | 0.20 | 20% | 5% | -5% |
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Handbook On Corporate Governance In Financial Institutions
Authors: Christine A. Mallin
1st Edition
1784711780, 978-1784711788
