Author Question: An individual's portfolio consists of three separate assets. Asset 1 has a beta of 1.4, asset 2 has ... (Read 99 times)

809779

  • Hero Member
  • *****
  • Posts: 579
An individual's portfolio consists of three separate assets. Asset 1 has a beta of 1.4, asset 2 has a beta of .84 and asset 3 has a beta of 1.05. The investor has invested 240 in asset 1, 500 in asset 2, and 260 in asset 3.
 
  Calculate the portfolio beta.
  A) 1.03
  B) 1.17
  C) 1.09
  D) 0.93
  E) 0.85

Question 2

What is the rate of return on an investment of 16,278 if the company expects to receive 3,000 per year for the next ten years?
 
  A) 18 percent
  B) 13 percent
  C) 8 percent
  D) 3 percent
  E) 10 percent



sarahccccc

  • Sr. Member
  • ****
  • Posts: 318
Answer to Question 1

A

Answer to Question 2

B



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

Children of people with alcoholism are more inclined to drink alcohol or use hard drugs. In fact, they are 400 times more likely to use hard drugs than those who do not have a family history of alcohol addiction.

Did you know?

Sildenafil (Viagra®) has two actions that may be of consequence in patients with heart disease. It can lower the blood pressure, and it can interact with nitrates. It should never be used in patients who are taking nitrates.

Did you know?

One way to reduce acid reflux is to lose two or three pounds. Most people lose weight in the belly area first when they increase exercise, meaning that heartburn can be reduced quickly by this method.

Did you know?

Your skin wrinkles if you stay in the bathtub a long time because the outermost layer of skin (which consists of dead keratin) swells when it absorbs water. It is tightly attached to the skin below it, so it compensates for the increased area by wrinkling. This happens to the hands and feet because they have the thickest layer of dead keratin cells.

Did you know?

Women are two-thirds more likely than men to develop irritable bowel syndrome. This may be attributable to hormonal changes related to their menstrual cycles.

For a complete list of videos, visit our video library