Dollar amount invested in stock b

Assignment Help Finance Basics
Reference no: EM131388095

You have invested $10,593 portfolio in three securities. The three securities comprise of the risk-free asset, Stock A, and Stock B. The beta of stock A is 2.4 while the beta of stock B is 0.6. 17% of the portfolio is invested in the risk-free security. What is the dollar amount invested in stock B if the beta of the portfolio is 1.2?

Reference no: EM131388095

Questions Cloud

What is the after-tax salvage value : ABC Company purchased a new machinery 4 years ago for $51,625. Today, it is selling this equipment for $26,953. What is the after-tax salvage value if the tax rate is 25 percent?
Can the costs associated with incoterms : Terms of the sale (who pays for what in terms of final delivery), or IncoTerms, are another source of expenses (costs) for the exporter and in a way another source of price escalation. Describe the different types of Incoterms. Can the costs associat..
What is the profitability index : What is the Profitability Index (PI) of this project if the required rate is 18%?
Describe differences between popular and scholarly sources : Explain at least five differences between popular and scholarly sources used in research. From the sources you summarized, list and explain at least five visual cues from the peer-reviewed.
Dollar amount invested in stock b : The beta of stock A is 2.4 while the beta of stock B is 0.6. 17% of the portfolio is invested in the risk-free security. What is the dollar amount invested in stock B if the beta of the portfolio is 1.2?
Aggressive monetary policy conducted by the fed : Some economists believe that the aggressive monetary policy conducted by the Fed during the post-9/11 period partially contributed to the formation of the housing bubble which eventually led to the subprime mortgage crisis in the late 2000s. Explain ..
Explain who is correct in given contention : It claimed that Can-Key refused and failed to instruct Rose-A-Linda to refrain from using the equipment. Therefore, ILC argued, Rose-A-Linda effectively rejected the turkey-hatching unit, relieving ILC of its contractual obligations. Who is correc..
What is the annual operating cash flow : A 12-year project is expected to generate annual sales of $294,798, variable costs of $37,508, and fixed costs of $59,154. The annual depreciation is $29,847 and the tax rate is 34 percent. What is the annual operating cash flow?
What is the portfolio beta : Based on the following information, what is the portfolio beta?

Reviews

Write a Review

Finance Basics Questions & Answers

  If you have time next time you go to a medical facility or

if you have time next time you go to a medical facility or any other service place that requires you to sign a contract

  Measurements from a normal distribution

Suppose you have selected a random sample of N-7measurements from a normal distribution. Compare the standard normal z- critical values with the corresponding t- critical values if you were forming the following confidence intervals:

  Find out the relavent cash flows in euros and use the

your company international widget manufacturers is headquartered in new orleans but is considering expanding its

  Use more control variables rather than depend

In the world of bueisness Why not use more control variables rather than depend on randomization as the means of controlling extraneous variables.

  Firm total assets at year-end

Debt Management Ratios Zoe's Dog Toys, Inc. reported a debt to equity ratio of 1.70 times at the end of 2008. If the firm's total assets at year-end were $49.9 million, how much of their assets are financed with equity?

  Why indirectly monetary policy can move the long bond

Since the Fed has no direct influence over the bond market, explain why indirectly monetary policy can move the long bond.

  A stock is expected to pay a 500 dividend per share the

a stock is expected to pay a 5.00 dividend per share. the growth rate is expected to be -2. if investors demand 8 on

  Consider the encoding of restricted type expressions

Consider the encoding of restricted type expressions as sequences of bits in Example 6.1. In Johnson {1979], the two-bit fields for constructors appeared in the opposite order with the field for the outermost constructor appearing next to the four..

  How does the information inform you as an investor

Go to a financial news source to find out the status of all the economic indicators at this time. Make note of your findings and the date for purposes of comparison. How does the information inform you as an investor?

  The firm is considering issuing bonds or an equal amount of

financing strategy. a new company plans to obtain 18 million financing. the company expects to obtain a yearly income

  How much will the firm pay its suppliers

Assume the company places orders during each quarter equal to 45 percent of projected sales for the next quarter. How much will the firm pay its suppliers in quarter 3 if the firm has a 60-day payables period?

  What is the difference between an insurance agent

What is the difference between an insurance agent and a broker? Explain, the law of large numbers. How do deductibles affect moral hazard?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd