Using the data provided in the table below, calculate the expected return of the portfolio. (Report your answer in percentage terms rounded to two decimal places. (Example .12345 should be entered as "12.35") Market Value Expected Return Common Stock SpaceTech, Inc. 80,000 10% ElectricRide, Inc. 50,000 14% SpacTime, Inc. 70,000 16% Answer:
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Weighted average market value = (Market Value of SpaceTechInc. * Expected Return of SpaceTechInc.) + (Market Value of ElectricRide,Inc. * Expected Return of ElectricRide,Inc.) + (Market Value of SpacTime,Inc. * Expected Return of SpacTime,Inc.) Weighted Show more…
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