Investment -Portfolio 1-Portfolio 2-ROR
savings account - $1,350- $3,600-2.80%
government bond-$1,475-$2,900–1.55%
preferred stock-$3,750-$1,850-11.70%
common stock-$2,900-$1,580-8.49%
Portfolio 1 $699.90.
Part A: Calculate how much Portfolio 2 earns. Show all work. (5 points)
Part B: Using your values from Part A, identify the portfolio that earns the most. What information from the table could be used to justify why that portfolio has
higher earnings? (5 points)