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Mr. Raditsebe also wants to invest in two stocks, stock A and B and has been provided the following nformation on the stocks. Use the
Mr. Raditsebe also wants to invest in two stocks, stock A and B and has been provided the following nformation on the stocks. Use the information to answer the questions that follow: a) What is the expected return on stock A and stock B ? (6 marks) b) What is the variance and standard deviation for stock A and stock B ? (10 marks) c) Differentiate between systematic risk and firm specific risk (4 marks) Mr. Raditsebe also wants to invest in two stocks, stock A and B and has been provided the following nformation on the stocks. Use the information to answer the questions that follow: a) What is the expected return on stock A and stock B ? (6 marks) b) What is the variance and standard deviation for stock A and stock B ? (10 marks) c) Differentiate between systematic risk and firm specific risk (4 marks)
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