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
chubhunter [2.5K]
3 years ago
14

Assume that you hold a well-diversified portfolio that has an expected return of 11.0% and a beta of 1.20. You are in the proces

s of buying 1,000 shares of Alpha Corp at $10 a share and adding it to your portfolio. Alpha has an expected return of 13.0% and a beta of 1.50. The total value of your current portfolio is $90,000. What will the expected return and beta on the portfolio be after the purchase of the Alpha stock? Group of answer choices 11.20%; 1.23 12.97%; 1.42 12.35%; 1.36 10.64%; 1.17 11.76%; 1.29
Business
1 answer:
sergey [27]3 years ago
7 0

Answer:

The expected return and beta on the portfolio be after the purchase of the Alpha stock will be 11.20%; 1.23

Explanation:

Provided data;

90000 value portfolio with expected returns of 11% and beta of 1.20

($10 × 1000) = 10000 value Alpha Corp added with expected returns of 13% and beta of 1.50.

The new expected portfolio return =

rp = 0.1 × 13% + 0.9 × 11%

rp = 0.1 × 0.13 + 0.9 × 0.11

= 11.20%

The new expected portfolio beta =

bp = 0.1 × 1.50 + 0.9 × 1.20

bp = 1.23

You might be interested in
Mom & Baby Inc., a firm specializing in mother and childcare products, gives free samples of their latest products to new mo
Inga [223]

Answer:

<u>Amplified word of mouth.</u>

Explanation:

Word of mouth marketing refers to using customer recommendations for the purpose of advertising so as to accomplish marketing goals.

Usually this form of marketing is spread from one customer to another in the form of recommendations.

For instance, a customer who uses a product and liked it, posts a favorable review on the product site, praising the product. Such a review would influence other prospective buyer and their purchases.

There are two kinds of word of mouth namely, organic and amplified. In the case of former, the review and praises arise out of natural tendency of the customer to recommend the product.

In case of the latter, the marketers launch such campaigns that encourage word of mouth in both existing as well as new communities.

In the given case, the company distributes free samples and seeks feedback of the target customers on the company's blog, which would be visible to prospective customers. The goal being to stimulate positive word of mouth, this method refers to amplified word of mouth.

8 0
3 years ago
You recently started a new job working with databases. you receive training on maintaining the database from your boss, gregor.
ser-zykov [4K]

You recently started a new job working with databases. you receive training on maintaining the database from your boss, Gregor. gregor tells you that when a DBMS flags a deleted record, completeness.

A database is an organized collection of data that is stored and accessed electronically. Small databases can be stored on the file system, while large databases are hosted on computer clusters or cloud storage.

A database is an organized collection of structured information or data, usually stored electronically in a computer system. A database is typically controlled by a database management system (DBMS).

MySQL, SQL Server, MongoDB, Oracle Database, PostgreSQL, Informix, Sybase, etc. are examples of various databases. These modern databases are managed by a DBMS. Structured Query Language or SQL is better known and is used to manipulate data in databases.

Learn more about databases here:brainly.com/question/24027204
#SPJ4

6 0
1 year ago
A publisher reports that 64% of their readers own a laptop. A marketing executive wants to test the claim that the percentage is
Virty [35]

Answer:

I don't no the answer sorry

3 0
3 years ago
When researchers calculate a basketball star's net worth they are measuring the star's _____.
polet [3.4K]
The answer is letter b, income and the wealth. The net worth is a way of having to measure the over all asset of the individual in which his or her income as well as his or her wealth that he or she has or acquires. The answer is letter b.
6 0
3 years ago
A new assessment tool does a good job of differentiating those who later will be depressed and those who will not be depressed,
Marina CMI [18]

Answer:

A. predictive validity.

Explanation:

The tool has predictive-validity because it can assess, or predict, out of a sample, which subjects will be depressed in the future, and which subjects will not, producing similar results to other tools that also measure depression, something that gives it credibility.

8 0
3 years ago
Other questions:
  • Forrest Company manufactures phone chargers and has a JIT policy that ending inventory must equal 10% of the next month’s sales.
    10·1 answer
  • TP1. <br> LO 4.1Can a company use both job order costing and process costing? Why or why not?
    11·1 answer
  • g Zander Inc. uses a job-order costing system in which any underapplied or overapplied overhead is closed to cost of goods sold
    7·1 answer
  • This company reports only total factory overhead on the schedule of cost of goods manufactured and attaches a separate schedule
    9·1 answer
  • Tanner and Teresa share income and losses in a 2:1 ratio after allowing for salaries of $42,000 to Tanner and $60,000 to Teresa.
    8·1 answer
  • The biggest transportation mode in terms of spending is: a. Rail b. Trucking c. Air d. Ocean e. Pipeline
    6·1 answer
  • LBC Corporation makes and sells a product called Product WZ. Each unit of Product WZ requires 2.4 hours of direct labor at the r
    7·1 answer
  • A series of 10 end-of-year deposits is made that begins with $5,000 at the end of year 1 and decreases at the rate of $300 per y
    5·1 answer
  • PLZ HELP! I WILL GIVE BRAINLIEST+30 POINTS!
    10·2 answers
  • Can som on pls help me ​
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!