For a potential investment of $5,000, a portfolio has an EMV of $1,000 and a standard deviation of $100. What is the rate of return?
A) 20%
B) 50%
C) 5%
D) 10%

Name: For a potential investment of $5,000, a portfolio has an EMV of $1,000 and a standard deviation of $100. What is the rate of return? A) 20% B) 50% C) 5% D) 10%
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Question

Quizplus · Accepted Answer

The rate of return is calculated as the EMV divided by the initial investment, which is $1,000 / $5,000 = 20%.

For a Potential Investment of $5,000, a Portfolio Has an EMV