Q1. A portfolio is invested 39% in Stock A, 24% in Stock B, and the remainder...

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Finance

Q1. A portfolio is invested 39% in Stock A, 24% in Stock B, andthe remainder in Stock C. The returns for Stock A, B, and C are11.7%, 39.2%, and 14.3% respectively. What is the portfolio'sreturn?

Q2.

Calculate the portfolio beta based on the followinginformation:

StockInvested Amountbeta
A

$2475

0.7
B$21590.3
C$4410.8

Q3. The risk-free rate is 2.1%, the market risk premium = (E(Rm) - Rf) is 6.2%, and the stock’s beta is 1.1. What is therequired rate of return on the stock, E(Ri)?
Use the CAPM equation.

i need this asap

Answer & Explanation Solved by verified expert
3.7 Ratings (316 Votes)
Question 1 Portfolio Return Portfolio Return SumReturns x Percentage of Investment 1170 x 039 3920 x 24 1430 x 037 456 941 529 1926 Question 2 Portfolio Beta Stocks Amount Invested    See Answer
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Q1. A portfolio is invested 39% in Stock A, 24% in Stock B, andthe remainder in Stock C. The returns for Stock A, B, and C are11.7%, 39.2%, and 14.3% respectively. What is the portfolio'sreturn?Q2.Calculate the portfolio beta based on the followinginformation:StockInvested AmountbetaA$24750.7B$21590.3C$4410.8Q3. The risk-free rate is 2.1%, the market risk premium = (E(Rm) - Rf) is 6.2%, and the stock’s beta is 1.1. What is therequired rate of return on the stock, E(Ri)?Use the CAPM equation.i need this asap

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