Question
1. Select four stocks from finance.yahoo.com, google.finance.com, or moneycentral.msn.com. One should be a clothing manufacturer, one should be a retailer, one should be an automobile
1. Select four stocks from finance.yahoo.com, google.finance.com, or moneycentral.msn.com. One should be a clothing manufacturer, one should be a retailer, one should be an automobile manufacturer, and one should be a restaurant or food producer.
2. Obtain the closing price, the change in price from the previous day, and the beta.
3. Calculate the return on holding the stock for a day (this should be the change in price over the closing price).
4. Calculate a portfolio return with weights of 0.25 for each stock.
5. Calculate a weighted beta with weights of 0.25 for each stock.
6. Write up the implications of the portfolio return and risk with respect to what you learned about beta and the CAPM in 2-3 pages.
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Accounting
Authors: Carl s. warren, James m. reeve, Philip e. fess
21st Edition
978-0324400205, 324225016, 324188005, 324400209, 9780324225013, 978-0324188004
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