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You are analyzing possible stocks to combine into a portfolio. FIN has a variance of 0.142 and ACCT has a standard deviation of 0.41. If
You are analyzing possible stocks to combine into a portfolio. FIN has a variance of 0.142 and ACCT has a standard deviation of 0.41. If we purchased a portfolio by purchasing $177 of FIN stock and $175 of ACCT stock, and the two stocks have a correlation of 0.98. Use FIN as stock 1, and calculate the portfolio variance (formula below if you need it) rounded to three decimal places.
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