I need the answer as soon as possible SM Q.7. Mr. X is...

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Accounting

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SM Q.7. Mr. X is to invest his funds in two securities, P and Q. The relevant information is as follows: P Q Expected return (ER) 12% 20% Standard deviation of return (0) 10% 18% Coefficient of correlation r, between P and Q is 0.15 He has decided to consider only five portfolios of P and Q as follows: (i) All funds invested in P (ii) 50% of funds in each of P and Q : (iii) 75% funds in P and 25% in Q (iv) 25% funds in P and 75% in Q (v) All funds invested in Q. (a) Find the Expected return under different portfolios and Risk factor associated with these portfolios. (b) Which portfolio is best for him from the point of risk, and which portfolio is best for him from the point of view of return? r. 1.11nn. CS Scanned with CamScanner 4134

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