You own a portfolio that has $3,400 invested in Stock A and $4,500 invested in S

Question

You own a portfolio that has $3,400 invested in Stock A and $4,500 invested in Stock B. Assume the expected returns on these stocks are 8 percent and 14 percent, respectively.

What is the expected return on the portfolio? (Do not round intermediate calculations. Enter your answer as a percentage rounded to 2 decimal places (e.g., 32.16).)

What is the expected return on the portfolio? (Do not round intermediate calculations. Enter your answer as a percentage rounded to 2 decimal places (e.g., 32.16).)

Explanation / Answer

Answer Stock Invest Retrun Total return A 3400 8% 272 B 4500 14% 630 Total 7900 902 Expected Portfolio Return =902/7900*100 = 11.42%

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