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You have $10,000 to invest in a stock portfolio. Your choices are Stock X with an expected return of 12.4 percent and Stock Y with

You have $10,000 to invest in a stock portfolio. Your choices are Stock X with an expected return of 12.4 percent and Stock Y with an expected return of 10.1 percent. If your goal is to create a portfolio with an expected return of 10.85 percent, how much money will you invest in Stock X? In Stock Y?

Input area:

Portfolio value $10,000
Stock X E(R) 12.40%
Stock Y E(R) 10.10%
Portfolio E(R) 10.85%

(Use cells A6 to B9 from the given information to complete this question.)

Output area:

Weight of Stock X
Weight of Stock Y
Dollar in Stock X
Dollars in Stock Y

Display formula with excel

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