Question
26. to increase an asset account, you need to _____ the account. 27. You have 40% of your portfolio invested with a beta of 1.7
26. to increase an asset account, you need to _____ the account.
27. You have 40% of your portfolio invested with a beta of 1.7 and the rest of your portfolio invested in a stock with a beta of .90. What is the beta of your portfolio?
28. When creating a portfolio with stocks from very different industries adequate diversification is expected to have been achieved when the portfolio contains at least ___ stocks.
29. In the current year, ABC inc paid interest if $30,000, had no net capital expenditures of $250,000, and issued net new debt of $65,000. In addition, the company reported cash flow from operating activities of $480,000 cash flow from investigating activities of ($225,000) and cash flow from financing activities of $55,000. The marginal tax rate is 35%. Compute the free cash flow to the firm.
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