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NEW QUESTION: 1
A company has updated the method it uses to initiate projects. The company requires
RFPs from three vendors, and low and high bids must be rejected to determine the selected vendor.
Which of the following terms describe this requirement?
A. Business acquisition
B. Outsourcing
C. Internal reorganization
D. Business process change
Answer: B
Explanation:
References: Kim Heldman, CompTIA Project+ Study Guide, 2nd Edition, Sybex,
Indianapolis, 2017, p. 297
NEW QUESTION: 2
A and B are two stocks with normally distributed returns. The returns for stock A have a mean of 5% and a standard deviation of 20%. Stock B has a mean of 3% and standard deviation of 5%. Their correlation is -0.6.
What is the mean and volatility of a portfolio which holds stocks A and B in the ratio 6:4?
A. 4.2% and 10.92%
B. 4.2% and 14%
C. 4% and 10.92%
D. 4.2% and 1.19%
Answer: A
Explanation:
Explanation
The mean can be calculated quite easily as a weighted average, and in this case it is 0.6*5% + 0.4*3% = 4.2%.
The variance can be calculated with the formula for portfolio variance as = (0.6