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Page of 2 2001 3. Suppose you have $50,000 in cash to invest. There are only two stocks in the economy: Coca-Cola and Intel. The

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Page of 2 2001 3. Suppose you have $50,000 in cash to invest. There are only two stocks in the economy: Coca-Cola and Intel. The expected return is 10% for Coca-Cola and 27% for Intel. The standard deviation is 15% for Coca-Cola and 40% for Intel and the two stocks are uncorrelated. You decide to short sell $12,000 worth of Coca-Cola stock and invest the proceeds from your short sale, plus your $50,000, in Intel. What is the expected return and the standard deviation of your portfolio

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