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Question 4: Suppose Johnson & Johnson and Walgreen Boots Alliance have expected returns and volatilities...

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Finance

Question 4: Suppose Johnson & Johnson and Walgreen Boots Alliance have expected returns and volatilities shown below, with a correlation of 23%.

Calculate:

(a) the expected return and

(b) the volatility (standard deviation) of a portfolio that is equally invested in Johnson & Johnson's and Walgreens' stock.

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Suppose Johnson \& Johnson and Walgreen Boots Alliance have expected returns and volatilities shown here, , with a correlation of 23%. Calculate (a) the expected return and (b) the volatility (standard deviation) of a portfolio that is equally invested in Johnson \& Johnson's and Walgreens' stock. a. Calculate the expected return The expected return is %. (Round to two decimal place.) b. Calculate the volatility (standard deviation). The volatility is %. (Round to two decimal place.) Data table (Click on the following icon in order to copy its contents into a spreadsheet.)

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