You have three stocks in your portfolio. That are expected to earn 5%, 10%, and 15%. If

Fantastic news! We've Found the answer you've been seeking!

Question:

You have three stocks in your portfolio. That are expected to earn 5%, 10%, and 15%. If you hold them all in equal proportion.

What is the expected return on your portfolio?

Related Book For answer-question

Fundamentals of Financial Management

ISBN: 978-0324664553

Concise 6th Edition

Authors: Eugene F. Brigham, Joel F. Houston

See More Books

Posted Date: Jun 15, 2023 12:20 AM

See More Questions

Assume that you recently graduated and landed a job as a financial planner with Cicero Services, an investment advisory company. Your first client recently inherited some assets and has asked you to...
You own a portfolio of Swedish and American stocks. Their respective benchmarks are the OMX and S&P 500 indexes, and the Swedish and American portfolios are closely matched to their benchmarks in...
The following table gives the current balance sheet for Travelers Inn Inc. (TII), a company that was formed by merging a number of regional motel chains. The following facts also apply to TII. (1)...
What freedom does an international organisation have in regard to imposing its own approaches to HRM on its operations throughout the world? How can an international organisation, aware of the need...
A source of sinusoidal emf with constant voltage is connected in series with an oscillating circuit with quality factor Q = 100. At a certain frequency of the external voltage the heat power...
A 50-meter tunnel must be constructed as part of a new aqueduct system for a city. Two alternatives are being considered. One is to build a full-capacity tunnel now for $500,000. The other...
How to enforce a settlement agreement?
Liquid flow out of a spherical tank discharging through a valve can be described approximately by the following nonlinear differential equation: where the variables used arc consistent with other...
In a reverted epicyclic gear train shown in Fig.15.15, the arm F carries two wheels A and D and a compound wheel B, C. The wheel A meshes with wheel B and the wheel D meshes with wheel C.z = 80, z =...
Imagine that instead of pipetting up to 1 mL of the 50-ppm stock solution of nitrite, you pipetted between 10-50 mL of the stock solution to make your standard solutions. What would your calibration...
For each of the following abnormalities indicate the type of error or fraud that might have occurred and how would you resolve your doubts. December 2019 sales are 12 percent higher than December...
Draw a series of variable diagrams for the program below using the conventions of the Study Guide. Assume that the following input is given: 2010 t 1 #include 2 #include 3 using namespace std; 4 int...
Calculate a value for N so that the following subroutine generates a delay of 1ms. You should also include the time required to execute the call instruction in your calculation. Assume that the...
9 f(x) = x, find f(x).
1. The difference in salary between a college graduate and someone with just a high school diploma over a 40-year career would be $64,137 - $36,318 = $27,819 per year. Over 40 years, this would...
Listed below are four potential errors or problems that could occur in the processing of cash transactions. Review each error or problem and using the drop - down answer box located beneath each one,...
Ed's client, Samantha, has revealed that she is pregnant. She is 14 years old and she is considering having an abortion. She does not want her parents to know. During the conversation, she alludes to...
Write an essay describing the differing approaches of nursing leaders and managers to issues in practice. To complete this assignment, do the following: 1. Select an issue from the following list:...
What is the EAR corresponding to a nominal rate of 10% compounded semiannually? Compounded quarterly? Compounded daily?
Suppose you suddenly remembered that the coefficient of variation (CV) is generally regarded as being a better measure of stand-alone risk than the standard deviation when the alternatives being...
Whats the difference between a call for sinking fund purposes and a refunding call?
Preparing adjusting journal entries Arnez Co. records prepaid expenses in balance sheet accounts. Arnezs annual accounting period ends on December 31, 2008. The following information concerns the...
Preparing adjusting entries, adjusted trial balance, and financial statements Wells Technical Institute (WTI), a school owned by Tristana Wells, provides training to individuals who pay tuition...
Preparing financial statements from the adjusted trial balance The adjusted trial balance for Chiara Company as of December 31, 2008, follows. Required Use the information in the adjusted trial...

You have three stocks in your portfolio. That are expected to earn 5%, 10%, and 15%. If

Question:

Expert Answer:

To calculate the expected return on your portfolio you need to take the weighted average of t... View the full answer

Fundamentals of Financial Management

Students also viewed these finance questions