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  1. mathematics
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  3. suppose that you want to create a portfolio that c

Suppose that you want to create a portfolio that consists of a corporate bond​ fund, X,...

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Statistics

Suppose that you want to create a portfolio that consists of acorporate bond​ fund, X, and a common stock​ fund, Y. For a​ $1,000investment, the expected return for X is $75 and the expectedreturn for Y is $ 90 The variance for X is 1,725 and the variancefor Y is 12,225. The covariance of X and Y is 4,583.

a. The portfolio risk is ​$

b. Compute the portfolio expected return and portfolio risk ifyou put $ 500 in each fund.The portfolio expected return is

​(Type an integer or a​ decimal.)

The portfolio risk is

​(Round to two decimal places as​ needed.)

c. Compute the portfolio expected return and portfolio risk ifyou put $600 in the corporate bond fund and $400 in the commonstock fund.The portfolio expected return is

​(Type an integer or a​ decimal.)

The portfolio risk is

​(Round to two decimal places as​ needed.)

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