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You own three stocks: 1,000 shares of Apple Computer. 10,000 shares of Cisco Systems and 5,000 shares of Goldman Sachs. The current share prices and

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You own three stocks: 1,000 shares of Apple Computer. 10,000 shares of Cisco Systems and 5,000 shares of Goldman Sachs. The current share prices and expected returns of Apple Cisco, and Goldman Sachs are, respectively, $103. $20, $127 and 12%, 10%, 10.5% a. What are the portfolio weights of the three stocks in your portfolio? b. What is the expected return of your portfolio? c. Suppose the price of Apple stock goes up by 59. Cisco rises by 84, and Goldman Sachs falts by $12. What are the new portfolio weights? d. Assuming the stocks' expected returns romain the same, what is the expected return of the portfolio at the new prices? a. What are the portfolio weights of the three stocks in your portfolio? The portfolio weight of Apple Computer is % (Round to one decimal place) The portfolio weight of Cisco Systems is % (Round to one decimal place.) The portfolio weight of Goldman Sachs is 1 % (Round to ono decimal place.) b. What is the expected return of your portfolio? The expected return of the portfolio is 1 %. (Round to two decimal places.) c. Suppose the price of Apple stock goes up by $9, Cisco rises by $4, and Goldman Sachs falls by $12. What are the new portfolio weights? The new portfolio weight of Apple is IL % (Round to one decimal place.)

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