Question

- Question 6 1 point Number Help Over the past year (from 1 year ago to today), the inflation rate was 4.79 percent, the riskYour investment portfolio has 15,000 shares of Fairfax Paint, which has an expected return of 7.3 percent and a price of 6.6

0 0
Add a comment Improve this question Transcribed image text
Answer #1

1.
=1107.31*(1+4.79%)*(1+6.18%)-44.62=1187.4397882082

2.
=(10.99%*(15000*6.6+25000*3.8)-15000*6.6*7.3%)/(25000*3.8)=14.8353684210526%

Add a comment
Know the answer?
Add Answer to:
- Question 6 1 point Number Help Over the past year (from 1 year ago to...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • Your investment portfolio has 10,000 shares of Fairfax Paint, which has an expected return of 11.46...

    Your investment portfolio has 10,000 shares of Fairfax Paint, which has an expected return of 11.46 percent and a price of 5.8 dollars per share, and 25,000 shares of Litchfield Design, which has a price of 3.2 dollars per share. If your portfolio has an expected return of 15.39 percent, then what is the expected return for Litchfield Design? Answer as a rate in decimal format so that 12.34% would be entered as .1234 and 0.98% would be entered as...

  • Your investment portfolio has 20,000 shares of Fairfax Paint, which has an expected return of 5.47...

    Your investment portfolio has 20,000 shares of Fairfax Paint, which has an expected return of 5.47 percent and a price of 6 dollars per share, and 30,000 shares of Litchfield Design, which has a price of 3.6 dollars per share. If your portfolio has an expected return of 9.73 percent, then what is the expected return for Litchfield Design? Answer as a rate in decimal format so that 12.34% would be entered as .1234 and 0.98% would be entered as...

  • #6 Two years ago, the price of a bond was 1,083.45 dollars, and one year ago,...

    #6 Two years ago, the price of a bond was 1,083.45 dollars, and one year ago, the price of the bond was 1,146.68 dollars. Over the past year, the bond paid a total of 66.2 dollars in coupon payments, which were just paid. If the bond is currently priced at 1,128.06 dollars then what was the rate of return for the bond over the past year (from 1 year ago to today)? The par value of the bond is 1,000...

  • Kwame owns one share of stock of Fairfax Paint and one share of stock of Litchfield...

    Kwame owns one share of stock of Fairfax Paint and one share of stock of Litchfield Design. The total value of his holdings is 174 dollars. Both stocks pay annual dividends that are expected to continue forever. The expected return on Fairfax Paint stock is 17.72 percent and its annual dividend is expected to remain at 11.52 dollars forever. The expected return on Litchfield Design stock is 17.93 percent. The next dividend paid by Litchfield Design is expected to be...

  • 1 point Number Help Rogelio's portfolio is worth 66,400 dollars and has three stocks. It has...

    1 point Number Help Rogelio's portfolio is worth 66,400 dollars and has three stocks. It has 21,700 dollars of stock A, which has an expected return of 6.94 percent; it has 1,800 shares of stock B, which has a share price of 9.5 dollars and an expected return of 7.41 percent; and it has some stock C, which has an expected return of 15.41 percent. What is the expected return of Rogelio's portfolio? Answer as a rate in decimal format...

  • - Question 16 1 point Number Help You own a portfolio that has 4,800 shares of...

    - Question 16 1 point Number Help You own a portfolio that has 4,800 shares of stock A, which is priced at 19.2 dollars per share and has an expected return of 16.69 percent, and 2,900 shares of stock B, which is priced at 28.3 dollars per share and has an expected return of 7.45 percent. The risk- free return is 2.86 percent and inflation is expected to be 2.38 percent. What is the risk premium for your portfolio? Answer...

  • - Question 12 1 point Number Help You own a portfolio that has 6,600 shares of...

    - Question 12 1 point Number Help You own a portfolio that has 6,600 shares of stock A, which is priced at 16 dollars per share and has an expected return of 5.38 percent, and 1,800 shares of stock B, which is priced at 23.5 dollars per share and has an expected return of 16.77 percent. The risk-free return is 2.9 percent and inflation is expected to be 2.39 percent. What is the expected real return for your portfolio? Answer...

  • What was the real rate of return over the past year (from one year ago to...

    What was the real rate of return over the past year (from one year ago to today) for a stock if the inflation rate over the past year was 5.58 percent, the risk-free return over the past year was 6.97 percent, the stock is currently priced at 82.86 dollars, the stock was priced at 73.56 dollars 1 year ago, and the stock just paid a dividend of 2.72 dollars? Answer as a rate in decimal format so that 12.34% would...

  • What was the real rate of return over the past year (from one year ago to...

    What was the real rate of return over the past year (from one year ago to today) for a stock if the inflation rate over the past year was 3.59 percent, the risk-free return over the past year was 5.94 percent, the stock is currently priced at 78.02 dollars, the stock was priced at 72.87 dollars 1 year ago, and the stock just paid a dividend of 2.9 dollars? Answer as a rate in decimal format so that 12.34% would...

  • Today, you sold 1 share of Litchfield Design stock. The percentage return over the past quarter...

    Today, you sold 1 share of Litchfield Design stock. The percentage return over the past quarter (from 3 months ago to today) for these shares was 5.22 percent. You purchased the shares 3 months ago at a price of 66.48 dollars per share. You just received 5.97 dollars in dividends. What was the price of the stock when you sold it?

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT