You own a portfolio that is 32 percent invested in stock x, 47 percent in stock Y, and 21 percent in stock Z. the expected returns on these three stocks are 12 percent, 15 percent, and 17 percent, respectively. What is the expected return on the portfolio?

You own a portfolio that is 32 percent invested in stock x, 47 percent in stock Y, and 21 percent in stock Z. the expected returns on these three stocks are 12 percent, 15 percent, and 17 percent, respectively. What is the expected return on the portfolio?

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter8: Analysis Of Risk And Return

Section: Chapter Questions

Problem 25P

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You own a portfolio that is 32 percent invested in stock x, 47 percent in stock Y, and 21 percent in
stock Z. the expected returns on these three stocks are 12 percent, 15 percent, and 17 percent,
respectively. What is the expected return on the portfolio?

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