An investor wants to form a risky portfolio with an expected return of 10% per year. He invests in a stock with an expec

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An Investor Wants To Form A Risky Portfolio With An Expected Return Of 10 Per Year He Invests In A Stock With An Expec 1 (24.94 KiB) Viewed 11 times

An investor wants to form a risky portfolio with an expected return of 10% per year. He invests in a stock with an expected return of 16% per year, and in a bond with an expected return of 8% per year. What percent of the portfolio should he invest in the stock? a) 65% Ob) 35% O c) 50% O d) 25% e) 75%