You are going to invest P20,000 in a portfolio consistin g of assets X, Y, and Z, as follows: Probability 0.50 0.25 Annual return Beta Proportion 0.333 0.333 Asset X Y 1.2 1.6 10% 8% 16% 0.25 2.0 0.333

You are going to invest P20,000 in a portfolio consistin g of assets X, Y, and Z, as follows: Probability 0.50 0.25 Annual return Beta Proportion 0.333 0.333 Asset X Y 1.2 1.6 10% 8% 16% 0.25 2.0 0.333

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Question

The beta of the portfolio containing assets X, Y, and Z, is

You are going to invest P20,000 in a portfolio consistin g of assets X, Y, and Z, as follows:
Probability
0.50
0.25
Beta
Proportion
0.333
0.333
Asset
Annual return
10%
8%
1.2
1.6
Y
16%
0.25
2.0
0.333

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