Question
A company has five stock in the portfolio and portfolio beta= 1.8, each stock has equal weight and the total value of the portfolio=250,000 tk.
A company has five stock in the portfolio and portfolio beta= 1.8, each stock has equal weight and the total value of the portfolio=250,000 tk. One month later, finance manager decided to sell 4 th stock and replaced by a new stock which value =70000 tk and new stock beta =1.60, calculate the portfolio new beta.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
Financial Management For Public, Health, And Not-for-Profit Organizations
Authors: Steven A. FinklerDaniel L. Smith, Thad D. Calabrese
6th Edition
978-1506396811, 150639681X
