You have $12,260 to invest in a stock portfolio. Your choices are StockX with an expected return of 14.2 percent and Stock Y with an expected return of 8.61 percent. If your goal is to create a portfolio with an expected return of 11.71 percent, how much money (in $) will you invest in Stock X? Answer to two decimals, carry intermediate calcs. to four decimals.
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A: We will first find the beta of the portfolio. Portfolio beta = weighted average of betas of…
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A: Stock 1 beta (B1) = 0.60 Stock 1 investment (W1) = $ 15,000 Stock 2 beta (B2) = 1.50 Stock 2…
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A: A portfolio beta is a measure of the overall systematic risk of the portfolio of investments.
Q: Suppose you held a diversified portfolio consisting of a $7,500 investment in each of 20 different…
A: Portfolio consists off = 20 stocks Investment of each stock = $7,500 Portfolio beta = 0.95 Selling…
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A: Portfolio is the collection of securities. portfolio return formula: portfolio return =∑nwn×rn…
Q: Suppose you held a diversified portfolio consisting of a $7,500 investment in each of 20 different…
A: The term portfolio beta refers to the measure of the riskiness of the whole portfolio in relation to…
Q: You own a stock portfolio invested 33 percent in Stock Q, 20 percent in Stock R, 37 percent in Stock…
A: Stock Weight Beta Q 33% 1.02 R 20% 1.08 S 37% 1.48 T 10% 1.93
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A: The fraction of investment can be calculated by using this equation Fraction =Individual…
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A: A portfolio is a set of varied investments made by an investor. Its beta is computed as the weighted…
Q: Suppose you held a diversified portfolio consisting of a $7,500 investment in each of 20 different…
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Q: Mr. Jones has a 2-stock portfolio with a total value of $510,000. $175,000 is invested in Stock A…
A: Computation:
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A: The expected return of the portfolio can be calculated as the sum of individual weight of stock…
Q: An individual has $45,000 invested in a stock with a beta of 0.5 and another $30,000 invested in a…
A: Portfolio beta = (beta of the 1st stock * its weight in the portfolio) + (beta of the 2nd stock *…
Q: You have $19,000 to invest in a stock portfolio. Your choices are Stock X with an expected return of…
A: Here, Stock portfolio = $19,000 Stock X return = 15% Stock Y return = 10% Expected return of the…
Q: Suppose you held a diversified portfolio consisting of a $7,500 investment in each of 20 different…
A: Given information: Initial portfolio’s beta is 1.81 Investment in diversified portfolio is $7,500 in…
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A: Note: We’ll answer the first question since the exact one wasn’t specified. Please submit a new…
Q: An individual has $15,000 invested in a stock with a beta of 0.3 and another $40,000 invested in a…
A: Portfolio beta can be calculated by multiply the weight of stock with individual beta of stock.…
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A: Stock Weight Return X 23% 11% Y 38% 14% Z 39% 16%
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A: Given information: Stock 1 is $45,000 and beta of 0.6 Stock 2 is $75,000 and beta of 1.9
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A: Holding period return = Dividend paid + ( Price at year 1 - Price at year 0 ) / Price at year 0
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A: Portfolio beta = (Weight of stock Q * Beta of stock Q) + (Weight of stock R * Beta of stock R) +…
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A: The dividend discount model (DDM) is a quantitative method used for predicting the worth} of a…
Q: You have $20,000 to invest in a stock portfolio. Your choices are Stock X with an expected return of…
A: A portfolio is the collection of different stocks to diversify the overall risk of the investment.
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A: Portfolio is a bundle of different investments. Investor invest the money in different investment to…
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Q: Tom O'Brien has a 2-stock portfolio with a total value of $100,000. $55,000 is invested in Stock A…
A: Given: Total value =$100,000 Invested in stock A = $55,000 Stock A Beta = 0.75 Stock B beta = 1.79
Q: You have $24,000 to invest in a stock portfolio. Your choices are Stock X with an expected return of…
A: Given that the total investment amount is $24,000, expected return on stock X is 13% and expected…
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A: The amount invested in stock A is calculated below:
Q: You have $10,000 to invest in a stock portfolio. Your choices are Stock X with an expected return of…
A: Amount available to invest = $ 10000Return of X = 12.4%Return of Y = 10.1% Desired return from…
Q: What are the portfolio weights for a portfolio that has 120 shares of Stock A that sell for $30 per…
A: Stock A outstanding shares are 120 and the sale price per share is $30. Stock B outstanding shares…
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A: Given data: Total value of portfolio = $ 540,000 Total value invested in stock A = $ 195,000 Total…
Q: You own a stock portfolio invested 35 percent in Stock Q, 30 percent in Stock R, 20 percent in Stock…
A: given, wq= 0.35 wr= 0.3 ws= 0.2 wt= 0.15 betaq= 0.92 betar= 1.25 betas= 1.09 betat= 1.27
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Q: You own a portfolio that has $1,600 invested in Stock A and $2,700 invested in Stock B. Assume the…
A: Expected return of portfolio = (weight of stock A × Expected return of A) + (weight of stock B ×…
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A: The expected return of a portfolio helps the investor to determine the performance of the portfolio.
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A: Calculation of portfolio beta: Excel workings:
Q: Your portfolio consists of 100 shares of CSH and 50 shares of EJH, which you just bought at $20 and…
A: Given that: The portfolio consists of 100 shares of CSH and 50 shares of EHJ Purchase price $20and…
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Q: Assume you have formed a portfolio of stocks by investing $200 in stock X, $300 in stock Y, and $500…
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- You have $18,000 to invest in a stock portfolio. Your choices are Stock X with an expected return of 14 percent and Stock Y with an expected return of 11 percent. Assume your goal is to create a portfolio with an expected return of 12.45 percent. How much money will you invest in Stock X and Stock Y? Note: Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.You own a portfolio that has $5,758 invested in Stock A and $1,616 invested in Stock B. If the expected returns on these stocks are -0.12 and 0.24, respectively, what is the expected return on the portfolio? Enter the answer with 4 decimals (e.g. 0.1234).You own a portfolio that has $3,00o0 invested in Stock A and $4,100 invested in Stock B. Assume the expected returns on these stocks are 10 percent and 16 percent, respectively. What is the expected return on the portfolio? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Expected return %
- You have $19,000 to invest in a stock portfolio. Your choices are Stock X with an expected return of 15 percent and Stock Y with an expected return of 10 percent. Assume your goal is to create a portfolio with an expected return of 13.15 percent. How much money will you invest in Stock X and Stock Y? (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) Investment in Stock X Investment in Stock YStocks A and B have expected returns of 0.119 and 0.133, respectively. You form a portfolio consisting of $5,000 in Stock A and $6,000 in Stock B. What is your portfolio's expected return? Enter your answer as a decimal and show 4 decimal places. Type your answer... PreviousYou have $261,000 to invest in a stock portfolio. Your choices are Stock H, with an expected return of 14.1 percent, and Stock L, with an expected return of 11.2 percent. If your goal is to create a portfolio with an expected return of 12.55 percent, how much money will you invest in Stock H and in Stock L? Note: Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16. Investment in Stock H Investment in Stock L
- Suppose you allocate 2/5 of your portfolio value to a stock that has an expected return of 8% and the rest to another stock that has an expected return of 17%. What is the expected return on your two-stock portfolio? Note: Show your answer in units of percents, use plain numbers with at least two digits after the decimal (e.g., for 12.34%, type 12.34).You own a portfolio that has $1,600 invested in Stock A and $2,700 invested in Stock B. Assume the expected returns on these stocks are 11 percent and 17 percent, respectively. What is the expected return on the portfolio? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)You have $37,000 to invest in a stock portfolio. Your choices are Stock X with an expected return of 14.7 percent and Stock Y with an expected return of 7.1 percent. Your goal is to create a portfolio with an expected return of 13 percent. All money must be invested. How much will you invest in Stock X? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
- Suppose you invest $100, $410, and $640 of your wealth into a stock, the market, and a risk - free asset, respectively. The beta of the stock is 1.3. What is the beta of the portfolio? Enter your answer rounded to 3 DECIMAL PLACES. Enter your response below.You have $10,000 to invest in a stock portfolio. Your choices are Stock X with an expected return of 12.4 percent and Stock Y with an expected return of 10.1 percent. If your goal is to create a portfolio with an expected return of 10.85 percent, how much money will you invest in Stock X and Stock Y? (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) Stock X Stock YYou have $18,000 to invest in a stock portfolio. Your choices are Stock X with an expected return of 13 percent and Stock Y with an expected return of 11 percent. If your goal is to create a portfolio with an expected return of 12.18 percent, how much money will you invest in Stock X and Stock Y? (Do not round intermediate calculations and round your answers to the nearest whole number, e.g., 32.) Stock X Stock Y