Ushtrime Te | Zgjidhura Investime

Using the ROI formula:

Year 1: $100 Year 2: $120 Year 3: $150

Stock A: 40% of the portfolio, with an expected return of 12% Stock B: 60% of the portfolio, with an expected return of 15% Ushtrime Te Zgjidhura Investime

An investment generates the following cash flows:

PV = $1,000 / (1 + 0.10)^5 = $1,000 / 1.61051 = $620.92 Using the ROI formula: Year 1: $100 Year

If the initial investment is $300, what is the return on investment (ROI)?

Expected Return = (Weight of Stock A x Return of Stock A) + (Weight of Stock B x Return of Stock B) Ushtrime Te Zgjidhura Investime

What is the expected return of the portfolio?