Answer:
4.727
Step-by-step explanation:
An easy way to think of something being divided by a fraction is by turning the fraction into a decimal. In this case, it's 5 1/2, which is the same as 5.5. So, you can just calculate 26 / 5.5, by hand, or on a calculator, and the answer is 4.727.
<em>Hope this helps!</em>
The numbers are irrational, so they can't be written exactly.
Rounded to the nearest thousandth, they are
11.196
and
0.804 .
11.196 + 0.804 = 12
11.196 x 0.804 = 9.002...
Calculate the total amount invested by summing up all the values of the investment.
Total = 50,000
Calculate the weight of each investment. For WOOPS, weight = 5000 / 50000 = 10% and so on.
Now, Expected Return = sum of weight x Returns = 10% x 0.14 + 20% x 0.16 + ... + 18%x 0.18 = 16.01%
b) Similarly,
Beta of the portfolio = sum of weight x beta = 10% x 0.6 + 20% x 0.8 + ... + 18% x 0.18 = 0.7605
c) Portfolio has less systematic risk as the beta for the average market is 1, which is above the portfolio
d) Using CAPM, Return = Rf + beta x (Rm - Rf) = 4% + 0.7605 x (14% - 4%) = 11.605%
To calculate the expected return of a portfolio, the investor needs to know the expected return of each security in the portfolio and the total weight of each security in the portfolio. This means that investors need to sum the weighted averages of the expected returns (RoRs) of each security.
Investors are based on estimates of the expected rate of return on securities, assuming that what has proven to be true in the past will be true in the future. Investors do not use the structural view of the market to calculate the expected return. Instead, it determines the weight of each security in the portfolio by dividing the value of each security by the total value of the security.
Learn more about Percentage here: brainly.com/question/843074
#SPJ4
Answer:no graph is shown below
Step-by-step explanation:
But since is no solution they can't have the same slope.
