Find the mean & the standard deviation of the total amount

Reference no: EM1319814

Question: An investor puts USD 10,000 into each of four stocks, labeled A, B, C & D. The following are the means & the standard deviations of the annual returns of these four stocks. Assuming that the returns of these four stocks are independent of each other, compute the mean & the standard deviation of the total amount that this investor in 1 year from these four investments.

Stock	Mean annual return	Stdev. of annual return
A	0.13	0.04
B	0.16	0.06
C	0.12	0.02
D	0.15	0.05

Reference no: EM1319814

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