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Intro You have $9,000 to invest. You've done some security analysis and generated the following data for three stocks and Treasury bills, including weights in
Intro You have $9,000 to invest. You've done some security analysis and generated the following data for three stocks and Treasury bills, including weights in the optimal risky portfolio (ORP): Security Stock A Stock B Stock CT-bills Expected return (%) 12 8 5 Variance 0.04 0.03 0.02 Beta 1.2 1.5 Weight in ORP (%) 43 18 39 1 08 OOO Part 1 Attempt 1/5 for 10 pts. What is the expected return of the optimal risky portfolio (ORP)? 3+ decimals Submit Part 2 Attempt 1/5 for 10 pts How much money should you invest in the ORP to achieve an expected return of 7% for the complete portfolio (in %)? 0+ decimals Submit Part 3 Attempt 1/5 for 10 pts If you want to achieve an expected return of 7% for the complete portfolio, how much money should you invest in stock A (in S)? 0+ decimals
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