Question
You invest a total of $15,000 in 2 assets: TAC Inc. with an expected rate of return of 12% and a standard deviation of 15%;
You invest a total of $15,000 in 2 assets: TAC Inc. with an expected rate of return of 12% and a standard deviation of 15%; and a T-bill with a rate of return of 3%. How much must be invested in TAC and the T-bill, respectively, to form a portfolio with an expected return of 11%?
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Contemporary Business Mathematics with Canadian Applications
Authors: S. A. Hummelbrunner, Kelly Halliday, Ali R. Hassanlou, K. Suzanne Coombs
11th edition
134141083, 978-0134141084
