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What is the expected return on the following portfolio? Stock Expected Return Do

ID: 2761496 • Letter: W

Question

What is the expected return on the following portfolio?

Stock                            Expected Return                        Dollars Invested

Apple                             10.00%                                               $12,500

IBM                                  8.00%                                               $8,000

Microsoft                        12.00%                                              $15,000

Facebook                       22.00%                                              $25,000

Explanation / Answer

The expected return on the Portfolio = $ 9,190

Stock Expected Return in % Dollars invested Expected Retrun in $ Apple 10% $ 12,500 $ 1,250 IBM 8% $ 8,000 $    640 Microsoft 12% $ 15,000 $ 1,800 Facebook 22% $ 25,000 $ 5,500 Total Return $ 9,190
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