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Problem:

You own a portfolio that is 35 percent invested in Stock X, 20 percent in Stock Y, and 45 percent in Stock Z. The expected returns on these three stocks are 8 percent, 19 percent, and 15 percent, respectively.

Required:

Question: What is the expected return on the portfolio?

Note: Please explain comprehensively and give step by step solution.

Basic Finance, Finance

  • Category:- Basic Finance
  • Reference No.:- M91175287

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