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You are forming a portfolio of two stocks. Both stocks have a standard deviation of returns of 20% and expected returns of 16%. The coefficient

You are forming a portfolio of two stocks. Both stocks have a standard deviation of returns of 20% and expected returns of 16%. The coefficient of correlation between returns on the two stocks is .2. If you put 25% of your money in one stock and 75% in the other, what is the portfolio standard deviation of returns? Select one: a. 16.7% b. 16% c. 2.8% d. 28%

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