A friend has confided in you that they have recently inherited a moderately sized investment portfolio from a relative. They don't know what to do with the assets. The friend comes to you for advice. Your immediate advice, of course, is for your friend to seek professional advice from a tax expert as well as a financial adviser. Your friend persists, however, and asks how the investment returns of the portfolio compare to other investments. You agree to review the portfolio and calculate the yields of each investment as well as determine the weighted average yield for the entire portfolio, download and refer to theinvestment schedule (Excel file). For your quantitative analysis compute the current market value of each security position of the portfolio, calculate individual yields based on current market pricing, and determine the weighted average factor and the weighted average yields.

• Explain the basis upon which you determined the weighted average yield.
• Explain the difference between a yield that is based on cost, as opposed to one that is based on current market value.
• What are the different uses of both?
• What non-quantitative observations can you make about the portfolio?

Provide:

TFW 03:34 @ 2 91% D AA my.uopeople.edu C Type of Company Name Stock Portfolio Position (# Current Current Estimated Estimated Weighted Weighted Investment Symbol Market Price Market Value Dividend/In Current Average Factor Average of shares) Yield Yield Common stock Altria MO 119 50.04 $247,00 Common stock AT&T T 173 32.09 $325,00 Common stock Chevron CVX 26 125,82 $111,00 Common stock Coca Cola KO 59 54,33 $77,00 Common stock Duke Energy DUK 65 87.68 $206,00 COCCOCOCCO Common stock Johnson & Johnson JNJ 31 128,84 CCCCCCCCCC CCCCCCCCCC $86,00 Common stock McDonalds MCD 52 214,31 $176,00 Common stock Pepsi Cola PEP 17 130,74 $44,00 Common stock Philip Morris Intl PM 70 86.75 $280,00 Common stock Proctor & Gamble PG 52 113,85 $133,00 0 Total Portfolio Market Value Weighte Averatge Yield