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NEW QUESTION: 1
What describes application virtualization?
A. Breaks the dependency between the application interface and the processing logic
B. Breaks the dependency between the application and the underlying platform
C. Increases the application and CPU utilization
D. Provides interoperability between different application versions
Answer: B

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

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