[Solved] Yang Bai Is Investing $10,000 and Wants a Portfolio That

Question 191
Multiple Choice
Question 191

Yang Bai is investing $10,000 and wants a portfolio that is 80% stocks and 20% bonds. She has decided to accomplish this using just two ETFs: a stock ETF trading for $50 a share and a bond ETF trading for $100 a share. What should she do to meet her asset allocation goal?

A) Purchase 80 shares of the stock ETF and 10 shares of the bond ETF.
B) Purchase 80 shares of the stock ETF and 20 shares of the bond ETF.
C) Purchase 160 shares of the stock ETF and 10 shares of the bond ETF.
D) Purchase 160 shares of the stock ETF and 20 shares of the bond ETF.

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