Reference no: EM133004958
You own three stocks: 600 shares of Apple Computer, 10,000 shares of Cisco Systems, and 5000 shares of Colgate-Palmolive. The current share prices and expected returns of Apple, Cisco, and Colgate-Palmolive are, respectively, $500, $20, $100 and 12%, 10%, 8%.
a. What are the portfolio weights of the three stocks in your portfolio?
b. What is the expected return of your portfolio?
c. Suppose the price of Apple stock goes up by $25, Cisco rises by $5, and Colgate-Palmolive falls by $13. What are the new portfolio weights?
d. Assuming the stocks' expected returns remain the same, what is the expected return of the portfolio at the new prices?
|
Current adjusted cost base of dave segregated fund
: Dave has had a segregated contract for four years. Each year his deposits have been $5,000. Three years ago capital losses of $1,500 were allocated to Dave's un
|
|
Depreciation expense for the year
: The firm has earnings before taxes of $34,211, and the depreciation expense for the year is $2,310. The firm paid $4,630 in taxes and $1,057 in interest during
|
|
Strike price of the option
: Six months ago you bought a dollar call option because you knew you would need dollars in August. The strike price of the option is €1/$. If at maturity, the sp
|
|
Compute the amount received by the issuer
: A discounted Certificate of Deposit with a face value of $ 120 million is issued for a period of 180 days at a rate of 2.2%.
|
|
What are the portfolio weights of the three stocks
: You own three stocks: 600 shares of Apple Computer, 10,000 shares of Cisco Systems, and 5000 shares of Colgate-Palmolive. The current share prices and expected
|
|
Produce the same results for a series of portfolio metrics
: What conditions must be met for the arithmetic average and the investment-weighted average to produce the same results for a series of portfolio metrics?
|
|
Calculate the profit or loss you made
: During Covid, you decide to enter the world of foreign exchange trading and start with $250,000 Canadian dollars to trade currencies. You first buy Euro's at a
|
|
What is the standard error of the estimates
: In a regression output, the Residual sum of squares is 50 and the residual degrees of freedom is 2. What is the standard error of the estimates (Serror)?
|
|
Depreciation and amortization expense
: Pharoah Corporation recently reported an EBITDA of $32.30 million and net income of $9.7 million. The company had $6.8 million in interest expense, and it's ave
|