Question

ou want to create a portfiolio equally as risky as the market, and you have $500,000 to invest. Information about the possibl
0 0
Add a comment Improve this question Transcribed image text
Answer #1

Beta of the portfolio market beta 1 risk free asset beta0 Let weight of stockc-x (0.8 120000/500000) (1.15*150000/500000) (1.

Add a comment
Know the answer?
Add Answer to:
ou want to create a portfiolio equally as risky as the market, and you have $500,000...
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 want to create a portfolio equally as risky as the market, and you have $500,000...

    You want to create a portfolio equally as risky as the market, and you have $500,000 to invest. Information about the possible investments is given below:   Asset Investment Beta   Stock A $ 85,000       .80         Stock B $165,000       1.15         Stock C 1.40         Risk-free asset a. How much will you invest in Stock C? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) b. How much will you invest in the risk-free...

  • You want to create a portfolio equally as risky as the market, and you have $500,000...

    You want to create a portfolio equally as risky as the market, and you have $500,000 to invest. Information about the possible investments is given below: Beta .80 Asset Investment $ 85,000 Stock A Stock B $165,000 Stock C Risk-free asset 1.40 a.How much will you invest in Stock C? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) b.How much will you invest in the risk-free asset? (Do not round intermediate calculations and...

  • You want to create a portfolio equally as risky as the market, and you have $500,000...

    You want to create a portfolio equally as risky as the market, and you have $500,000 to invest Information about the possible investments is given below: Asset Investment Beta $142.000 $138,000 Stock A 87 Stock B Stock C 1.32 1.47 Risk-free asset How much will you invest in Stock C? How much will you invest in the risk-free asset? (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) Investment in Stock C Investment in...

  • You want to create a portfolio equally as risky as the market, and you have $500,000...

    You want to create a portfolio equally as risky as the market, and you have $500,000 to invest. Information about the possible investments is given below: Beta 76 Asset Investment Stock A $ 131,000 Stock B $149,000 Stock C Risk-free asset 1.21 1.36 How much will you invest in Stock C? How much will you invest in the risk-free asset? (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) Investment in Stock C Investment...

  • You want to create a portfolio equally as risky as the market, and you have $500,000...

    You want to create a portfolio equally as risky as the market, and you have $500,000 to invest. Information about the possible investments is given below:   Asset Investment Beta   Stock A $ 144,000       .89         Stock B $ 136,000       1.34         Stock C 1.49         Risk-free asset 1. How much will you invest in Stock C? (Do not round intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16). 2. How much will you invest in the risk...

  • Check mi You want to create a portfolio equally as risky as the market, and you...

    Check mi You want to create a portfolio equally as risky as the market, and you have $500,000 to invest. Information about the possible investments is given below: Asset Investment Stock A $ 141,000 Stock B $139,000 Stock C Risk-free asset Beta .86 1.31 1.46 How much will you invest in Stock C? How much will you invest in the risk-free asset? (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) Investment in Stock...

  • please help! thank you! You want to create a portfolio equally as risky as the market,...

    please help! thank you! You want to create a portfolio equally as risky as the market, and you have $500,000 to invest. Information about the possible investments is given below: Asset Investment Beta $137,000 $143,000 Stock A .82 Stock B 1.27 1.42 Stock C Risk-free asset How much will you invest in Stock C? How much will you invest in the risk-free asset? (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) Investment in...

  • You want to create a portfolio equally as risky as the market, and you have $1,000,000...

    You want to create a portfolio equally as risky as the market, and you have $1,000,000 to invest. Given this information, fill in the rest of the following table: (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) You want to create a portfolio equally as risky as the market, and you have $1,000,000 to invest. Given this information, fill in the rest of the following table: (Do not round intermediate calculations and round...

  • You want to create a portfolio equally as risky as the market, and you have $2,600,000...

    You want to create a portfolio equally as risky as the market, and you have $2,600,000 to invest. Given this information, fill in the rest of the following table: (Do not round intermediate calculations and round your answers to the nearest whole number, e.g., 32.) Asset Investment Beta Stock A $494,000 1.40 Stock B $936,000 1.50 Stock C 1.60 Risk-free asset

  • You want to create a portfolio equally as risky as the market, and you have $2,600,000...

    You want to create a portfolio equally as risky as the market, and you have $2,600,000 to invest. Given this information, fill in the rest of the following table: (Do not round Intermedlate calculations and round your answers to the nearest whole number, e.g., 32) Asset Investment Beta Stock A 404,000 1.40 936,000 Stock B 1.50 Stock C 1.80 Risk-free asset

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