There are two firms, Apple and McDonald's. Today's Apple stock price is $129.93. Today's McDonald's stock price
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Question:
There are two firms, Apple and McDonald's.
Today's Apple stock price is $129.93.
Today's McDonald's stock price is $263.53.
If you decided to buy the two stocks in 50-50 shares of a $1,000,000 budget, is the portfolio able to reduce risk and increase the return better than holding either one of the stocks?
Please provide the details and analysis rationales.
Related Book For
Corporate Finance A Focused Approach
ISBN: 978-1439078082
4th Edition
Authors: Michael C. Ehrhardt, Eugene F. Brigham
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