Question

(LGI0-3) 10-22 Portfolio Beta You own $7,000 of Human Genome stock that has a beta of 3.5. You also own $8,000 of Frozen Food
10-28 Portfolio Beta and Required Return You hold the positions in the following table. What is the beta of your portfolio? I
0 0
Add a comment Improve this question Transcribed image text
Answer #1

10-22) Stock Human genom Frozen food molecular device Investment Investment Proportions $ 7,000.00 0.28 $ 8,000.00 0.32 $10,0

Add a comment
Know the answer?
Add Answer to:
(LGI0-3) 10-22 Portfolio Beta You own $7,000 of Human Genome stock that has a beta of...
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
  • You own $17,390 of Opsware, Inc. stock that has a beta of 3.88. You also own...

    You own $17,390 of Opsware, Inc. stock that has a beta of 3.88. You also own $26,790 of Lowe's companies (beta = 1.72) and $2,820 of New York Times (beta = 0.70). Assume that the market return will be 9 percent and the risk-free rate is 3 percent. What is the market risk premium? What is the risk premium of each stock? (3 answers) What is the risk premium of the portfolio?

  • You own $14,760 of Denny’s Corp stock that has an assumed beta of 2.90. You also...

    You own $14,760 of Denny’s Corp stock that has an assumed beta of 2.90. You also own $29,028 of Qwest Communications (assumed beta = 1.50) and $5,412 of Southwest Airlines (assumed beta = 1.08). Assume that the market return will be 11.0 percent and the risk-free rate is 6.0 percent. What is the market risk premium? What is the risk premium of each stock? (Round your answers to 2 decimal places.)             What is the risk premium...

  • You own a stock that has an expected return of 13.6 percent and a beta of...

    You own a stock that has an expected return of 13.6 percent and a beta of 1.3. The U.S. Treasury bill is yielding 4.2 percent and the inflation rate is 3.8 percent. What is the expected rate of return on the market?

  • You own a stock portfolio invested 10 percent in Stock Q, 20 percent in Stock R,...

    You own a stock portfolio invested 10 percent in Stock Q, 20 percent in Stock R, 15 percent in Stock S, and 55 percent in Stock T. The betas for these four stocks are 1.8, 0.7, 1.9, and 0.9, respectively. What is the portfolio beta? (Do not round intermediate calculations. Round your answer to 3 decimal places.) Portfolio beta

  • Problem 6-23 (similar to) Question Help (Portfolio beta and security market line) You own a portfolio...

    Problem 6-23 (similar to) Question Help (Portfolio beta and security market line) You own a portfolio consisting of the following stocks: The risk-free rate is 3 percent. Also, the expected return on the market portfolio is 13 percent. a. Calculate the expected return of your portfolio. (Hint: The expected return of a portfolio equals the weighted average of the individual stocks' expected returns, where the weights are the percentage invested in each stock.) b. Calculate the portfolio beta, c. Given...

  • You own $17,290 of Opsware, Inc. stock that has a beta of 3.61. You also own...

    You own $17,290 of Opsware, Inc. stock that has a beta of 3.61. You also own $20,020 of Lowe’s Companies (beta = 1.62) and $8,190 of New York Times (beta = 1.16). Assume that the market return will be 15 percent and the risk-free rate is 6 percent. What is the market risk premium? What is the risk premium of each stock? (Round your answers to 2 decimal places.) What is the risk premium of the portfolio? (Do not round...

  • 3. Portfolio Expected Return (L01) You own a portfolio that is 35 percent invested in Stock...

    3. Portfolio Expected Return (L01) You own a portfolio that is 35 percent invested in Stock X. 20 percent in Stock Y, and 45 percent in Stock Z. The expected returns on these three stocks are 9 percent, 17 percent, and 13 percent, respectively. What is the expected return on the portfolio?

  • QUESTION 17 You own a portfolio equally invested in a risk-free asset and two stocks. One of the stocks has a beta...

    QUESTION 17 You own a portfolio equally invested in a risk-free asset and two stocks. One of the stocks has a beta of 126 and the total portfolio is equally as risky as the market. Required: What must the beta be for the other stock in your portfolio? (Round your answer to 2 decimal places leg.32.16).) Beta: QUESTION 18 A stock has a beta of o92, the expected return on the market is 103 percent, and the risk-free rate is...

  • 1. You own a portfolio that has $1,700 invested in Stock A and $3,000 invested in...

    1. You own a portfolio that has $1,700 invested in Stock A and $3,000 invested in Stock B. If the expected returns on these stocks are 10 percent and 18 percent, respectively, what is the expected return on the portfolio?(Do not round your intermediate calculations.) rev: 09_20_2012 15.11% 12.89% 14.00% 15.86% 15.41% 2. Suppose a stock had an initial price of $55 per share, paid a dividend of $1.75 per share during the year, and had an ending share price...

  • You own a portfolio that has 60% invested in Stock X and 40% invested in Stock...

    You own a portfolio that has 60% invested in Stock X and 40% invested in Stock Y. Assume the expected returns on these stocks are 13% and 18%, respectively. What is the expected return on the portfolio? A portfolio has a beta of 0.6. The risk-free rate is 2% and the expected return on the market is 12%. What is the expected return on the portfolio? A bond has a $1,000 par value, 10 years to maturity, a 5% coupon...

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