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Toyota Corp.'s stock is $28 per share. Its expected return is 20% and variance is 12%. Honda Corp.'s stock is $23 per share. Its expected return is 15% and variance is 7%. Benz Corp.'s stock is $40 per share. Its expected return is 10% and variance 5%. What would be the expected return of a portfolio consisting of 50% Toyota and 50% Honda?

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Financial Management, Finance

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