You are considering how to invest part of your retirement savings.You have decided to put $...

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You are considering how to invest part of your retirementsavings.You have decided to put $ 100 comma 000 into three? stocks:53 % of the money in GoldFinger? (currently $ 20?/share), 18 % ofthe money in Moosehead? (currently $ 70?/share), and the remainderin Venture Associates? (currently $ 10?/share). Suppose GoldFingerstock goes up to $ 43?/share, Moosehead stock drops to $ 68?/share,and Venture Associates stock drops to $ 9 per share.

a. What is the new value of the? portfolio?

b. What return did the portfolio? earn?

c. If you? don't buy or sell any shares after the price? change,what are your new portfolio? weights?

Answer & Explanation Solved by verified expert
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a Amount invested in GoldFinger 53 of 100000 53000 Number of shares of GoldFinger purchased 5300020 2650 Amount invested in Moosehead 18 of 100000 18000 Number of    See Answer
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You are considering how to invest part of your retirementsavings.You have decided to put $ 100 comma 000 into three? stocks:53 % of the money in GoldFinger? (currently $ 20?/share), 18 % ofthe money in Moosehead? (currently $ 70?/share), and the remainderin Venture Associates? (currently $ 10?/share). Suppose GoldFingerstock goes up to $ 43?/share, Moosehead stock drops to $ 68?/share,and Venture Associates stock drops to $ 9 per share.a. What is the new value of the? portfolio?b. What return did the portfolio? earn?c. If you? don't buy or sell any shares after the price? change,what are your new portfolio? weights?

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