Question 1 (2 points) Suppose you invest $15000 in asset A with an expected return of...

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Answer 1

Answer #1

Wa = 15000 / (15000 + 9000) = 0.625

Wb = 9000 / (15000 + 9000) = 0.375

Ra = 15%

Rb = 9%

Expected Result of portfolio = Wa*Ra + Wb*Rb

= 0.625*15 + 0.375*9

= 12.75% Answer

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Answer 2

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