The portfolios new beta be after these transactions

Assignment Help Business Economics

Reference no: EM131011205

Portfolio Beta You have a $2 million portfolio consisting of a $100,000 investment in each of 20 different stocks. The portfolio has a beta of 0.75. You are considering selling $100,000 worth of one stock with a beta of 0.8 and using the proceeds to purchase another stock with a beta of 1.35. What will the portfolio's new beta be after these transactions? Do not round intermediate calculations. Round your answer to two decimal places.

Reference no: EM131011205

Questions Cloud

Draw two fbds and specify all forces : The freeway off-ramp is circular with 60 m radius. The off-ramp has a slope β'. The static friction coefficient between the tires of a car and the road is 0.4. Draw two FBDs and specify all forces when β = 0o.

Calculate the family federally taxable income : a. Calculate the family's federally taxable income. b. What is their tax liability assuming they file jointly as a married couple? c. What are their average and marginal tax rates?

List expense accounts related to payroll : List three expense accounts related to payroll. Describe when you would expect the account to be cleared to zero. Explain the methods you could use to reconcile these accounts.

Differences between scientific research reports : Aims: The aim of this assignment is to draw your attention to the differences between scientific research reports and media focussed outputs. You will practice skills in critical evaluation and conduct an effective literature search for relevant ar..

The portfolios new beta be after these transactions : Portfolio Beta You have a $2 million portfolio consisting of a $100,000 investment in each of 20 different stocks. The portfolio has a beta of 0.75. You are considering selling $100,000 worth of one stock with a beta of 0.8 and using the proceeds to ..

Estimate the average value of f : Use the Midpoint Rule with m = n = 2 to estimate the value of the following. ∫∫R f(x, y) dA. Estimate the average value of f.

Compute the average tax rate : Compute the average tax rate for the following taxable income amounts:

State the overall mobile device integration problem : Remember to state the overall mobile device integration problem, and articulate the current risks. Then, explain what incorporating mobile devices into the corporate data network would entail and how it would benefit the overall business.

Increase net cash from operations on the cash flow statement : Currently product Aft is charged $850,667 depreciation on the Income Statement of Andrews. Andrews is making plant improvements to Aft and depreciation charges will increase to 965,330. Decrease Net Cash from Operations on the Cash Flow Statement. In..

User Account

All Pages