Question
You decide to form a portfolio of the following amounts invested in the following stocks. What is the beta of the portfolio? SET YOUR CALCULATOR
You decide to form a portfolio of the following amounts invested in the following stocks. What is the beta of the portfolio?
SET YOUR CALCULATOR TO 4 DECIMAL PLACES THEN INPUT THE NUMBER ROUNDING TO 2 DECIMALS i.e. if your answer is 1.2455, enter it as 1.25 ONLY
| Stock | Amount | Beta | Expected Return |
| Apple | $1,000 | 0.92 | 10.50% |
| Microsoft | $7,000 | 1.39 | 16.90% |
| Ford | $4,000 | 1.49 | 15.75% |
| Time Warner | $8,000 | 2.02 | 11.80% |
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
Ethics In Finance
Authors: John R. Boatright
3rd Edition
1118615824, 978-1118615829
