portfolio expected returns calculate the expected return on a portfolio of 45 percen 664845

Aug 30, 2021 | Uncategorized

 

Security   Returns If State Occurs

State of Economy

Probability of State of Economy

Roll

Ross

Bust

0.3

10%

21%

Boom

0.7

28

8

Portfolio Expected Returns Calculate the expected return on a portfolio of 45 percent Roll and 55 percent Ross by filling in the following table:

(1)
  State of
  Economy

(2)
  Probability of
  State of Economy

(3)
  Portfolio Return
  If State Occurs

(4)
  Product
  (2)X(3)

Bust

      

Boom