What is the implied value of each warrant

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Reference no: EM132011998

1. An individual has $50,000 invested in a stock with a beta of 0.4 and another $55,000 invested in a stock with a beta of 1.8. If these are the only two investments in her portfolio, what is her portfolio's beta? Round your answer to two decimal places.

2. Cuba inc just sold a bond with 40 warrants attached. the bonds have a 15 year maturity and an annual coupons of 11% and they were issued at thier )1000 par value. The current yield on similar straight bonds is 13%. what is the implied value of each warrant.

Reference no: EM132011998

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