- LUC HW Score! U%, U B 20 pl 3-5 (similar to Question Help Related to Checkpoint 8.1) (Computing the portfolio expected rate of return) Penny Francis inherited a $200.000 portfolio of investments from her grandparents when she turned 21 years of age. The portfolio is comprised of Treasury bills and stock in Ford (F) and Harley Davidson (HOG): 3 a. Based on the current portfolio composition and the expected rates of return, what is the expected rate of return for Penny's portfolio? h f Donny want to increase ber ernecter nortfolio rate of return she can increase the allocated weiht of the portfolio che ha inveted a. Based on the current portfolio composition and the given expected rates of return, the expected rate of return for Penny's portfolio is %. (Round to two decimal places.) Enter your answer in the answer box and then click Check Answer 2 parts Clear All Check Answer remaining Chapter Eight 4 of 10 (0 complete) v HW: Data Table $ Value Treasury bills Ford (F) Harley Davidson (HOG) Expected Return 2.8% 7.9% 12.6% 83,000 66,000 51,000 Print Done Clear All Check Answer Score: 0 of 2 pts 4 of 10 (0 complete) HW Score: 0%, 0 of 20 P8-5 (similar to) Question Help a. Based on the current portfolio composition and the expected rates of return, what is the expected rate of return for Penny's portfolio? b.lf Penny wants to increase her expected portfolio rate oftreturn, she in stock (Ford and Harley Davidson) and decrease her holdings of Treasury bills. If Penny moves all her money out of Treasury bills and splits it evenly between the two stocks, what will be her expected rate of return? c. ll Penny does move money out of Treasury bills and into the two stocks, she will reap a higher expected portfolio return, so why would anyone want to hold Treasury bills in their portfolio? a. Based on the current portfolio composition and the given expected rates of return, the expected rate of return for Penny's portfolio is %. (Round to two decimal places.) Enter your answer in the answer box and then click Check