Investment in Y=100,000-35,000=$65,000
Portfolio beta=Respective beta*Respective Investment weight
=(35,000/100,000*1.5)+(65,000/100,000*0.7)
=0.98
Bill Dukes has $100,000 invested in a 2-stock portfolio. $35,000 is invested in Stock X and the remainder is invest...
4. Bill Dukes has $100,000 invested in a 2-stock portfolio. $62,500 is invested in Stock X and the remainder is invested in Stock Y. X's beta is 1.50 and Y's beta is 0.70. What is the portfolio's beta? Do not round your intermediate calculations. Round the final answer to 2 decimal places. 5. Nachman Industries just paid a dividend of D0 = $3.75. Analysts expect the company's dividend to grow by 30% this year, by 10% in Year 2, and...
QUESTION 11 Bill Dukes has $100,000 invested in a 2-stock portfolio. $50,000 is invested in Stock X and the remainder is invested in Stock Y. X's beta is 1.50 and Y's beta is 1.70. What is the portfolio's beta? 1.75 0.72 1.80 1.60 0.98 QUESTION 12 Suppose Leonard, Nixon, & Shull Corporation's projected free cash flow for next year is $100,000, and FCF is expected to grow at a constant rate of 6%. If the company's weighted average cost...
Question 18 5 pts Bill Dukes $100,000 invested in Stock A, $35,000 in Stock B, and the remainder of his $200,000 portfolio is in Stock C. Stocks A, B, and C have expected returns of 14%, 16%, and 18%. What is the portfolio's expected return? (Hint: First calculate the dollars invested in Stock C.) 13.96% 17.14% 15.65% 14.55% 13.01% D Question 19 Jim Angel holds a $300,000 portfolio consisting of the following stocks: 5 pts Stock Investment
QUESTION 2 Robert Jones has $100,000 invested in a 2-stock portfolio. $53,000 is invested in Stock X and the remainder is invested in Stock Y. X's beta is 1.25 and Y’s beta is 0.60. What is the portfolio's beta?
3. An individual has $35,000 invested in a stock with a beta of 0.8 and another $40,000 invested in a stock with a beta of 1.4. If these are the only two investments in her portfolio, what is her portfolio's beta?
Tom O'Brien has a 2-stock portfolio with a total value of $100,000 $47.500 is invested in Stock A with a beta of 0.75 and the remainder is invested in Stock B with a beta of 1.42. What is his portfolio's beta? Do not round your intermediate calculations. Round your final answer to 2 decimal places. a. 1.06 O b. 1.05 . c. 1.09 • O d. 1.10 OOO oooo.. o. Click here to read the eBook: The Relationship Between Risk...
An individual has $20,000 invested in a stock with a beta of 0.3 and another $35,000 invested in a stock with a beta of 1.5. If these are the only two investments in her portfolio, what is her portfolio's beta? Do not round intermediate calculations. Round your answer to two decimal places.
Dr. Francesco Totti's portfolio consists of $100,000 invested in a stock which has a beta = 0.8, $150,000 invested in a stock which has a beta = 1.2, and $50,000 invested in a stock which has a beta = 1.8. The risk-free rate is 7 percent. Last year nothing changed except for the fact that the market risk premium has increased in the amount of 2 percent (two percentage points, for instance, from 9% to 11%) on top of last...
Mrs. Landis has a 2-stock portfolio with a total value of $560,000. $215,000 is invested in Stock A with a beta of 1.55 and the remainder is invested in Stock B with a beta of 0.95. What is her portfolio's beta? Round your answer to two decimal places. For example, if your answer is $345.6671 round as 345.67 and if your answer is .05718 or 5.7182% round as 5.72.
A portfolio is invested 31.1% in Stock A, 19.4% in Stock B, and the remainder in Stock C. The expected returns are 11.3%, 20.8%, and 6.4% respectively. What is the portfolio's expected returns?