What will the expected return on your portfolio be

Assignment Help Financial Management
Reference no: EM131872343

Consider the following information:

Share Beta Expected return (%)

Lazy 1.5 15

Active 1.2 10

Suppose you have $30,000 in total. If you invest $15,000 in Share Lazy and the remainder in Share Active, what will the expected return on your portfolio be?

a. None of the other answers are true.

b. The expected return in your portfolio is 1.35%.

c. The expected return in your portfolio is 12%.

d. The expected return in your portfolio is 12.5%.

Reference no: EM131872343

Questions Cloud

What is the formula to figure the unlevered beta : If a firm has a levered beta of 1.25 and a debt to equity of 1.5 what is the unlevered beta assuming a tax rate of 40% and a discount of 12%?
What is the present worth of the anticipated cash flows : If funds are worth 10% per annum then what is the present worth of the anticipated cash flows?
Irr and should the project be accepted : If the cost of capital is 12% per year, what is the IRR and should the project be accepted?
What did you picture in your mind while listening and why : How would you move your body to the music? Why did you choose that movement? What did you picture in your mind while listening? Why?
What will the expected return on your portfolio be : If you invest $15,000 in Share Lazy and the remainder in Share Active, what will the expected return on your portfolio be?
Develop a customer service training implementation plan : Develop a customer service training implementation plan and determine the method of training (i.e., presentation, discussion, case study, discovery, role play.
What is the yield to maturity on these bonds : The bonds have a par value of $1,000, a current price of $1,125, and they will mature in 15 years. What is the yield to maturity on these bonds?
What is one share of stock worth today : The required return on this stock is 14 percent and the last dividend paid was $2.40 a share. What is one share of this stock worth today?
Record these facts on the books of put company : Give the entries to record these facts on the books of Put Company: Assuming that Put Company uses the cost method of accounting for its subsidiaries

Reviews

Write a Review

Financial Management Questions & Answers

  Foreign company acquisition

Acquisition by a foreign company and the effects of that decision and the results of foreign exchange in Euro and the exchange rate differences.

  Financial management for profit and non profit organizations

In this essay, we are going to discuss the issues of financial management in a non-profit organisation.

  Method for estimating a venture''s value

Evaluate venture's present value, cash and surplus cash and basic venture capital.

  Replacement analysis

This document show the Replacement Analysis of modling machine. Is replacement give profit to company or not?

  Business finance task - capital budgeting

Your company is considering using the payback period for capital-budgeting. Discuss the advantages and disadvantages of this technique.

  Analysis of the investment

In this project, you will focus on one of these: the additional cost resulting from the purchase of an apple press (a piece of equipment required to manufacture apple juice).

  Conduct a what-if analysis

Review the readings and media for this unit, including the Anthony's Orchard case study media. Familiarise yourself with the Anthony's Orchard company and its current situation.

  Determine operational expenditures

Organisations' behaviour is guided by financial data. In the short term, such data will help determine operational expenditures; in the long term, historical data may help generate forecasts aimed at determining strategic plans. In both instances.

  Personal financial management

How much will you have left over each half year if you adopt the latter course of action?

  Sources of finance for expansion into new foreign markets

A quoted company is considering several long-term sources of finance for expansion into new foreign markets.

  Long term financial planning

This assignment is designed for analyze Long term financial planning begins with the sales forecast and the key input in the long term fincial planning.

  Explain the role of fincial manager

This assignment explain the role of fincial manager, function of manger. And what are the motives of financial manager.

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