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You have a $100,000 portfolio consisting of Apple, Berkshire Hathaway, and Amazon.com. You put $35,000 in Apple, $24,000 in Berkshire Hathaway, and the rest in

You have a $100,000 portfolio consisting of Apple, Berkshire Hathaway, and Amazon.com. You put $35,000 in Apple, $24,000 in Berkshire Hathaway, and the rest in Amazon.com. Apple, Berkshire, and Amazon have betas of 1.28, 0.85, and 1.62, respectively. What is your portfolios beta?

You are calculating the risk of ABC stock in relation to the market index and you find ABCs beta is 2.65, the market indexs standard deviation is 22%, and the standard deviation of ABCs residual error terms is 48%. What percentage of ABCs total variance is due to systematic risk?

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