Question: 1. How do we measure the returns on our portfolio? 2. How can we assess the risk of an individual stock? 3. What kinds of

1. How do we measure the returns on our portfolio?
2.
How can we assess the risk of an individual stock?
3. What kinds of investments are safe and earn a high rate of return?
4. Google seems to be a great company. Why did Lawrence require the town to sell the Google stocks and reinvest the money in a diversified portfolio?
5.
How many stocks should we have in our portfolio?
6.
How much risk will the portfolio carry?

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1 Kraska will answer this question by assuming that a 1000000 portfolio in a given year earns 30000 in dividends and either gains or losses 100000 in market value Compute the HPR in dollars and percen... View full answer

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