What is the market price of the stock be

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1. A portfolio contains two stocks. Stock A comprises 65% of the portfolio and has a beta of 1.31. The remainder is invested in Stock B, which has a beta of 0.98. What is the portfolio beta?

2. The Western State Company's common stock is expected to pay a $2.00 dividend in the coming year. If investors require a 17% return and the growth rate in dividends is expected to be 8%, what is the market price of the stock be?

3. The process of purchasing newly issued shares from a company and reselling those shares to the general public by an investment bank is called.

Reference no: EM132053315

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