Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. ups, a delivery services company, has a beta of 1.

UPS, a delivery services company, has a beta of 1.2, and Wal-Mart has a beta...

70.2K

Verified Solution

Question

Finance

UPS, a delivery services company, has a beta of 1.2, and Wal-Mart has a beta of 0.8. The risk-free rate of interest is 4% and the market risk premium is 7%. What is the expected return on a portfolio with 40% of its money in UPS and the balance in Wal-Mart?

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Finance
1.2K views

Managers of Coronado Embroidery have decided to purchase a new monogram machine and are considering two...

Statistics
1.2K views

Imagine a new book that is to be released. Construct the attributes (i.e., the value of...

Chemistry
1.2K views

A sample of water with a Fe2+ concentration of 500 ppm. Additionally Eh is 0.503 V...

Biology
1.2K views

1. Which of the following biomes is likely to have the longest food chains? Tundra Boreal forest/Taiga Temperate deciduous...

Psychology
1.2K views

SOCIOLOGY Discuss the differences in offending by gender when it comes to violent crime and property crime,...

Psychology
1.2K views

please write 2-3 paragraphs about it. with complete sentence and proper grammar Describe Marcel Duchamp’s Fountain and...

Electrical Engineering
1.2K views

how an induction type Instrument can be used as an AC Voltmeter

Physics
1.2K views

4 In an R L C series circuit R 300 Q L 0 400 H...

Algebra
1.2K views

Given the following points 3 1 and 6 6 Find the following the midpoint the...

Accounting
1.2K views

Financial Statements: Cash vs. Accrual Income Statements \table[[Cash Basis,Accrual Basis s...

Accounting
1.2K views

NAME: PRO 4. SECTION: Multiple Choice 1. Ceradoy, Manongsong and Anuran are partners sharing residual...

Accounting
1.2K views

Can you help me with the following MARKOV CHAINS problem, explaining the solution step by...