Warren enterprises had the following events during year 1: the business issued $33,000 of common stock to its stockholders. the business purchased land for $25,000 cash. services were provided to customers for $29,000 cash. services were provided to customers for $18,000 on account. the company borrowed $29,000 from the bank. operating expenses of $25,000 were incurred and paid in cash. salary expense of $2,100 was accrued. a dividend of $17,000 was paid to the stockholders of warren enterprises. assuming the company began operations during year 1, the amount of retained earnings as of december 31, year 1 would be: a. 32900
b. 2700
c. 47000
d. 2900

Stocks a, b, and c are similar in some respects: each has an expected return of 10% and a standard deviation of 25%. stocks a and b have returns that are independent of one another; i.e., their correlation coefficient, r, equals zero. stocks a and c have returns that are negatively correlated with one another; i.e., r is less than 0. portfolio ab is a portfolio with half of its money invested in stock a and half in stock b. portfolio ac is a portfolio with half of its money invested in stock a and half invested in stock c. which of the following statements is correct? a. portfolio ab has a standard deviation that is greater than 25%.b. portfolio ac has an expected return that is less than 10%.c. portfolio ac has a standard deviation that is less than 25%.d. portfolio ab has a standard deviation that is equal to 25%.e. portfolio ac has an expected return that is greater than 25%.