1. Assume that you invested in three stocks whose expected returns are 18%, 12%, and 3% respectively. What would be the expected rate of return on your investment portfolio if the dollar amount you invested for the three stocks are $8,000, $6,000, and $6,000 respectively?
2. ABC Cosmetic is going to launch a new special cleansing cream for men. It hsa a constant marginal cost of $30 and the estimated price elasticity of demand is -4/3. What price should ABC Cosmetic charge for the cream?