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The expected return on VZ next year is 12% with a standard deviation of 20%. The expected return on ANT next year is 24% with

The expected return on VZ next year is 12% with a standard deviation of 20%. The expected return on ANT next year is 24% with a standard deviation of 30%. The correlation between the two stocks is .6. If Emily invests 40% money in VZ and 60% in ANT, what is the standard deviation of her portfolio?

a.

23.68%

b.

17.24%

c.

21.47%

d.

35.62%

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