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What Is the Variance of a Portfolio Consisting of €3,500 \quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad

Question 86

Multiple Choice

What is the variance of a portfolio consisting of €3,500 in share G and €6,500 in share H?
\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad Returns if
\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad\quad State Occurs
 State of Economy  Probability of State of Economy  ShareG  Share H  Boom 15%15%9% Normal 85%3%6%\begin{array}{|l|l|l|l|}\hline \text { State of Economy } & \text { Probability of State of Economy } & \text { ShareG } & \text { Share H } \\\hline \text { Boom } & 15 \% & 15 \% & 9 \% \\\hline \text { Normal } & 85 \% & 3 \% & 6 \% \\\hline\end{array}


A) .000209
B) .000247
C) .002098
D) .037026
E) .073600

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