III. Suppose a firm has a single investment project, 1 and it is considering an additional project, 2. The projects have
Posted: Fri Jul 01, 2022 7:52 am
III. Suppose a firm has a single investment project, 1 and it is considering an additional project, 2. The projects have the following net present values, standard deviations, and correlation coefficients: Project Expected NPV ($) 12,000 8,000 1 2 1 and 2 What is the NPV of the portfolio? What is the standard deviation of the portfolio? Standard Deviation ($) Correlation Coefficient 14,000 6,000 1.00 1.00 0.40