Suppose the market consists only of Ford (F) and Morgan Stanley (MS) stocks. Ford has 2.5 billion shares outstanding while Morgan Stanley has 600 million shares outstanding and a market capitalization of $35 billion. Assume that you hold the market portfolio.

If you hold 1,100 shares of Ford, then the number of shares of Morgan Stanley that you hold is closest to:

Answer rating: 100% (QA)

total no of shares of ford is 3 billion shares total no of shares of morgan ... View the full answer