scadengo123
scadengo123
13.11.2019 • 
Mathematics

An investor plans to invest 75 percent of her funds in the common stock of gamma industries and 25 percent in epsilon company. the expected return on gamma is 12 percent and the expected return on epsilon is 16 percent. the standard deviation of returns for gamma is 8 percent and for epsilon is 12 percent. the correlation between the returns for gamma and epsilon is +0.8. determine the expected return on the investor's portfolio.

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