Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Suppose you you own the following stocks with the following betas, and prices. You own 15 (quantity) of each stock. The risk-free rate is zero.
Suppose you you own the following stocks with the following betas, and prices. You own 15 (quantity) of each stock. The risk-free rate is zero. What was the market return? (round to 2 decimal places)
Stock | Price Yesterday | Beta | Price Today |
Stock A | $ 40 | 1.4 | $ 42.24 |
Stock B | $ 80 | 0.9 | $ 82.88 |
Stock C | $ 35 | 1.1 | $ 36.54 |
Stock D | $ 15 | 1.8 | $ 16.08 |
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