1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Rama09 [41]
3 years ago
13

Your investment club has only two stocks in its portfolio. $10,000 is invested in a stock with a beta of 0.4, and $40,000 is inv

ested in a stock with a beta of 1.2. What is the portfolio's beta? Do not round intermediate calculations. Round your answer to two decimal places.
Business
1 answer:
pav-90 [236]3 years ago
5 0

Answer:

Portfolio's beta is 1.04.

Explanation:

Portfolio's beta is the weighted average beta. So, take weightage of each stock, multiply it with the respective beta, and add the results.  

Finding Portfolio value for Weightages:

Total Amount Invested OR Portfolio value is = 10,000 + 40,000 = $50,000

Weighted Average Beta:

(10,000 / 50,000) * (.4) + (40,000 / 50,000) * (1.2) = .08 + .96 = 1.04.

Thanks!

You might be interested in
Chegg - Discuss the differences of productivity measurement in service and manufacturing. Why is productivity improvement more d
Svetllana [295]

Explanation:

The measurement of productivity in service and manufacturing is different in the sense of the ability to measure productivity, as a service has different characteristics that are Intangibility, Inseparability, Variability and Perishability, it is more difficult to measure its productivity, for example, a service is variable, so even if there are standards for the provision of that service, there are issues that will vary and this can change productivity.

There is also the fact that if the productivity measured by the capacity in the service sector is influenced by the loss of quality of the same, as customers may feel hurt if there is a rush in a service provided, for example, so that the service is more productive .

3 0
3 years ago
which items are examples of components likely found in tables? Check all that apply. Header row, banded row, header colums, tota
Mashcka [7]

Answer:

A

B

D

E

F

Explanation:

Edg. 2021

6 0
3 years ago
Read 2 more answers
Several items are omitted from the income statement and cost of goods manufactured statement data for two different companies fo
Andre45 [30]

1. The missing amounts should be determined in the following manner:

On Company A. Materials inventory December 1 Materials inventory December 31-+Materi also purchased -Cost of direct materials

Off Company Total manufacturing costs incurred in December -Direct labor Cost of direct materials used in production -Factory

2. On Company's statement of goods manufactured should be prepared as follows:

On Company Statement of Goods Manufactured For the Month of December 2016 Materials inventory December 1 Add: Purchases Total

3. On Company's income statement should be prepared as follows:

On Company Income Statement For the Month of December 2016 Sales 1,127,000 827.400 299,600 Less: Operating expenses 117,600.

Learn more about income statements at

brainly.com/question/24498019

#SPJ4

5 0
2 years ago
What Christmas vegetable is an anagram of SARNPIP?
babunello [35]
That would be Parsnip
8 0
3 years ago
Read 2 more answers
When researching a specific job, what information should you be looking for?
lozanna [386]
When researching a specific job, you should look at the organization’s mission and vision, what the recent achievements and news are, the positions and fields that are included with the job, and the community and employees!

Hope this helps! :) have a blessed day. 
3 0
3 years ago
Read 2 more answers
Other questions:
  • The quantity demanded x (in units of a hundred) of the Mikado miniature cameras per week is related to the unit price p (in doll
    7·1 answer
  • Zohrina is a top manager at her current company. However, she is leaving the company for a better job at a competing firm. Which
    8·1 answer
  • The Breeze trading company discloses the following information for the month of August 2016.
    7·1 answer
  • Bingerton Industries uses a perpetual inventory system. The company began the year with inventory of $77,000. Purchases of inven
    13·1 answer
  • In the economy, tax revenue collected by the government this year is $15 million and government outlays are $13 million. This co
    7·2 answers
  • Which of the following statements about buying centers is true?
    12·1 answer
  • Suppose ABCD's stock price is currently $50. In the next six months, it will either fall to $40 or rise 8 to $60. What is the cu
    14·1 answer
  • Kaspar Industries expects credit sales for January, February, and March to be $220,000, $260,000, and $300,000, respectively. It
    15·1 answer
  • The risk of employee opportunism, on behalf of agents, is exacerbated by the concept of:________
    7·1 answer
  • Which areas of culture need to be specifically addressed by marketers when developing a global marketing plan for their company’
    11·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!