Question
The risky portfolio A consists of 1000 shares of DREXLA and 4000 shares of OGATO. Assume that DREXLA has a share price of $6, an
The risky portfolio A consists of 1000 shares of DREXLA and 4000 shares of OGATO. Assume that DREXLA has a share price of $6, an expected return of 18%, and a standard deviation of 22%. OGATO has a share price of $4, an expected return of 14%, and a standard deviation of 20%. The correlation between the two is 0.6, and the risk-free rate of interest is 8%.
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Management And Organisational Behaviour
Authors: Laurie Mullins
7th Edition
0273688766, 978-0273688761
