You have $76250 to invest in two stocks and the risk-free security. Stock A has an...

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Finance

You have $76250 to invest in two stocks and the risk-freesecurity. Stock A has an expected return of 10.7 percent and StockB has an expected return of 11.1 percent. You want to own $30664 ofStock B. The risk-free rate is 3.78 percent and the expected returnon the market is 12.87 percent. If you want the portfolio to havean expected return equal to that of the market, how much should youinvest (in $) in the risk-free security?

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You have $76250 to invest in two stocks and the risk-freesecurity. Stock A has an expected return of 10.7 percent and StockB has an expected return of 11.1 percent. You want to own $30664 ofStock B. The risk-free rate is 3.78 percent and the expected returnon the market is 12.87 percent. If you want the portfolio to havean expected return equal to that of the market, how much should youinvest (in $) in the risk-free security?

You have $76250 to invest in two stocks and the risk-free security. Stock A has an...

80.2K

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Finance

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