Year-to-date, Yum Brands had earned a 3.80 percent return. During the same time period, Raytheon earned 4.26 percent and Coca-Cola earned −0.46 percent. If you have a portfolio made up of 30 percent Yum Brands, 30 percent Raytheon, and 40 percent Coca-Cola, what is your portfolio return?

The portfolio return is 2.234%

Explanation:

The portfolio return is a function of the weighted average of individual stock returns that form up the portfolio.

The portfolio return can be calculated as follows,

return of Portfolio = wA * rA + wB * rB + ... + wN * rN

Where,

Return of portfolio = 0.038 * 0.3  +  0.0426 * 0.3  +  (-0.0046) * 0.4

Return of Portfolio = 0.02234 or 2.234%

answer: in the short-run firms will respond by raising the price of turkey.

explanation: initially the long-run equilibrium is at a price of $5 per pound of turkey and a quantity of 50 million pounds per year. now, when webmd claims that a protein found in turkey will increase your expected lifespan by 4 years. the consumers demand for turkey will increase at every price shifting the demand curve to the right from d1 to d2. while, there will be no change in the supply curve in the short-run as it is not possible for producers to adjust supply so quickly. as a result the new equilibrium will occur at a higher price and a higher quantity of turkey.

thus, in the short run firms will respond by increasing the price of turkey, selling more quantity at a higher price and earning economic profits.