« previous next »

Author Question: Beta is ________. A) a measure of systematic risk B) a measure of nondiversifiable risk C) the ... (Read 219 times)

cagreen833

  • Hero Member
  • *****
  • Posts: 544
on: Jul 10, 2018
Beta is ________.
 
  A) a measure of systematic risk
  B) a measure of nondiversifiable risk
  C) the appropriate measure of risk for a well-diversified portfolio
  D) All of the above

Question 2

Richard owns the following portfolio of securities. What is the beta for the portfolio?
 
  Company Beta Percent of Portfolio
  Apple 2.50 25
  Wells Fargo 0.65 50
  eBay 1.70 25
 
  A) 1.00
  B) 0.65
  C) 1.62
  D) 1.38


todom5090

  • Sr. Member
  • ****
  • Posts: 328
Reply #1 on: Jul 10, 2018
Answer to Question 1

Answer: D

Answer to Question 2

Answer: D
Explanation: D) p =  i  wi = 2.5  25 + .65  50 + 1.70  25 = 1.38.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

The oldest recorded age was 122. Madame Jeanne Calment was born in France in 1875 and died in 1997. She was a vegetarian and loved olive oil, port wine, and chocolate.

Did you know?

In the ancient and medieval periods, dysentery killed about ? of all babies before they reach 12 months of age. The disease was transferred through contaminated drinking water, because there was no way to adequately dispose of sewage, which contaminated the water.

Did you know?

The first documented use of surgical anesthesia in the United States was in Connecticut in 1844.

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?

Aspirin is the most widely used drug in the world. It has even been recognized as such by the Guinness Book of World Records.

Alpha, beta, gamma amino acids Alpha, beta, gamma amino acids
Physical Fitness and Cancer Risk Physical Fitness and Cancer Risk
Beta-Adrenergic Blockers Used for Dysrhythmias Beta-Adrenergic Blockers Used for Dysrhythmias
Algorithm for assessing a patient at risk for suicide. Algorithm for assessing a patient at risk for suicide.
Percentage of youth age 15 to 19 years with at-risk levels of body composition & fitness Percentage of youth age 15 to 19 years with at-risk levels of body composition & fitness
What nuclide is produced when Pb-210 decays by beta emission? What nuclide is produced when Pb-210 decays by beta emission?
Video: Protein Secondary and Tertiary Structures - Animation

For a complete list of videos, visit our video library