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Question 21: Use the following information to calculate the standard deviation of a portfolio that is 70 percent invested in 3 Doors, Inc., and 30
Question 21: Use the following information to calculate the standard deviation of a portfolio that is 70 percent invested in 3 Doors, Inc., and 30 percent invested in Down Co.: (Round intermediate calculations to 4 decimal places. Enter your answers as a percent rounded to 2 decimal places.) Expected return, E(R) Standard deviation, o Correlation WA = 0.70 WB =1-0.70 A = 0.47 B =0.49 2p=0.1608 3 Doors, Inc. 17% 0 = w202 + w03 +2WAWBCOV(RARB) o2 = w202 + wo3 + 2WAWBOAOBCORR(RRB) P = 40.10% 47% 0.32 Down Co. 14% 49% Question 21: Use the following information to calculate the standard deviation of a portfolio that is 70 percent invested in 3 Doors, Inc., and 30 percent invested in Down Co.: (Round intermediate calculations to 4 decimal places. Enter your answers as a percent rounded to 2 decimal places.) p2=wA2A2+wB2B2+2wAWBCOV(RARB)p2=wA2A2+wB2B2+2wAWBABCORR(RARB)WA=0.70WB=10.70A=0.478=0.492=0.1608 Use the following information to calculate the standard deviation of a portfolio that is 70 percent invested in 3 Doors, Inc., and 30 percent invested in Down Co.: (Round intermediate calculations to 4 decimal places. Enter your answers as a percent rounded to 2 decimal places.) p2=wA2A2+wB2B2+2wAWBCOV(RARB)p2=wA2A2+wB2B2+2wAWBABCORR(RARB)WA=0.70WB=10.70A=0.47B=0.492P=0.1608P=40.10%
Question 21: Use the following information to calculate the standard deviation of a portfolio that is 70 percent invested in 3 Doors, Inc., and 30 percent invested in Down Co.: (Round intermediate calculations to 4 decimal places. Enter your answers as a percent rounded to 2 decimal places.) Expected return, E(R) Standard deviation, o Correlation WA = 0.70 WB =1-0.70 A = 0.47 B =0.49 2p=0.1608 3 Doors, Inc. 17% 0 = w202 + w03 +2WAWBCOV(RARB) o2 = w202 + wo3 + 2WAWBOAOBCORR(RRB) P = 40.10% 47% 0.32 Down Co. 14% 49%
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