Exhibit 6-12
USE THE FOLLOWING INFORMATION FOR THE NEXT PROBLEM(S)

Exhibit 6-12
USE THE FOLLOWING INFORMATION FOR THE NEXT PROBLEM(S) $\begin{array}{cc}\text { Asset 1 } & \text { Asset 2 } \\\hline E\left(R_{1}\right) =.12 & E\left(R_{2}\right) =.16 \\E\left(\sigma_{1}\right) =.04 & E\left(\sigma_{2}\right) =.06\end{array}$
-Given the following weights and expected security returns, calculate the expected return for the portfolio. $\begin{array}{cc}\text { Weight } & \text { Expected Return } \\\hline .20 & .06 \\.25 & .08 \\.30 & .10 \\.25 & 12\end{array}$

A) 0.085
B) 0.090
C) 0.092
D) 0.097
E) None of the above