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tekilochka [14]
3 years ago
7

Joel owns the following portfolio of securities. What is the beta for the portfolio?Company Beta Percent of PortfolioExxon-Mobil

.95 40%Pacific Industries 1.20 35%Payson Restaurants 1.35 25%A) 1.0000B) 0.9500C) 1.1375D) 1.1705
Business
1 answer:
alex41 [277]3 years ago
7 0

Answer:

the beta of the portfolio is 1.1375

Explanation:

The computation of the beta of the portfolio is as follows:

= Company beta × portfolio percentage

= 0.95 × 0.40 + 1.20 × 0.35 + 1.35 × 0.25

= 0.38 + 0.42 + 0.3375

= 1.1375

Hence the beta of the portfolio is 1.1375

We simply applied the above formula so that the correct beta could come

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Answer:

Buying Center.

Explanation:

A Buying Center is a group if individuals within an organization that are responsible for making purchase decisions.

The Buying Center is also called the Decision Making Unit (DMU), and it includes personnel from various departments.

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What is first step in developing a knowledge management system
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4 years ago
Which statement indicates that a person is less likely to be an effective team member? A-"That's not my job." B-"I can help you
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3 years ago
Why should companies be careful to report cash and cash equivalents correctly?
mart [117]
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5 0
4 years ago
Woidtke Manufacturing's stock currently sells for $25 a share. The stock just paid a dividend of $1.60 a share (i.e., D0 = $1.60
madam [21]

Answer:

$26.25

11.72%

Explanation:

Stock price next year = current price x ( 1 + growth rate)

$25 x (1.05) = $26.25

According to the constant growth dividend growth model :

P = D1 / ( r - g)

P = price of the stock

D1 = next dividend = current dividend x (1 +growth rate)

r = required rate of return

g = growth rate

$25 = $1.60 x ( 1.05) / r - 0.05

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