11. Calculating Portfolio Betas You own a stock portfolio invested 15 percent in Stock Q, 25 percent in Stock R, 40 percent in Stock S, and 20 percent in Stock T. The betas for these four stocks are .78, .87, 1.13, and 1.45, respectively. What is the portfolio beta?

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter8: Analysis Of Risk And Return
Section: Chapter Questions
Problem 12P
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LO 3
b.
What is the variance of this portfolio? The
11. Calculating Portfolio Betas You own a stock portfolio invested 15 percent
in Stock Q, 25 percent in Stock R, 40 percent in Stock S, and 20 percent
in Stock T. The betas for these four stocks are .78, .87, 1.13, and 1.45,
respectively. What is the portfolio beta?
Moli
Rotas
You own a portfolio equally invested in a risk-
Transcribed Image Text:LO 3 b. What is the variance of this portfolio? The 11. Calculating Portfolio Betas You own a stock portfolio invested 15 percent in Stock Q, 25 percent in Stock R, 40 percent in Stock S, and 20 percent in Stock T. The betas for these four stocks are .78, .87, 1.13, and 1.45, respectively. What is the portfolio beta? Moli Rotas You own a portfolio equally invested in a risk-
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