You are examining a portfolio consisting of 3 stocks. Using the data in the table

	Stock Returns			Portfolio Returns
Year	North Air	West Air	Tex Oil
2010	20%	9%	-3%	14.5%	3.0%
2011	30%	20%	-4%	25.0%	8.0%
2012	7%	7%	9%	7.0%	8.0%
2013	-4%	-3%	20%	-3.5%	8.5%
2014	-3%	-4%	30%	-3.5%	13.0%
2015	9%	30%	7%	19.5%	18.5%
Average Return	9.8%	9.8%	9.8%	9.8%	9.8%
Volatility	13.2%	13.2%	13.2%	11.9%	5.3%

,a. Compute the annual returns for a portfolio with30%invested in North Air,20 %invested in West Air, and50%invested in Tex Oil.b. What is the lowest annual return for your portfolio in part(a)?

How does it compare with the lowest annual return of the individual stocks or portfolios in the table above.

a. Compute the annual returns for a portfolio with

30 %30%

invested in North Air,

20 %20%

invested in West Air, and

50 %50%

invested in Tex Oil.

The annual return for 2010 will be:(Round to two decimal places.)

Year	North Air	West Air	Tex Oil	Portfolio
2010	20%	9%	-3%		%

The annual return for 2011 will be:(Round to two decimal places.)

Year	North Air	West Air	Tex Oil	Portfolio
2011	30%	20%	-4%		%

The annual return for 2012 will be:(Round to two decimal places.)

Year	North Air	West Air	Tex Oil	Portfolio
2012	7%	7%	9%		%

The annual return for 2013 will be: