Question
A portfolio comprises Coke (beta of 1.5 ) and Wal-Mart (beta of 0.9). The amount invested in Coke is $20,000 and in Wal-Mart is $30,000.
A portfolio comprises Coke (beta of 1.5 ) and Wal-Mart (beta of 0.9). The amount invested in Coke is $20,000 and in Wal-Mart is $30,000. What is the beta of the portfolio?
A. 1.48
B. 1.31
C.1.14
D.1.37
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
Intermediate Financial Management
Authors: Eugene F. Brigham, Phillip R. Daves
13th Edition
1337395080, 9781337395083
