2. Consider a portfolio of three stocks. The weights of the three stocks are 0.2, 0.3, and 0.5. The betas of the three stocks are 1, 1.5, and 2. The beta of the portfolio is A. 1.55 B. 1.65 C. 1.75 D. 1.70

2. Consider a portfolio of three stocks. The weights of the three stocks are 0.2, 0.3, and 0.5. The betas of the three stocks are 1, 1.5, and 2. The beta of the portfolio is A. 1.55 B. 1.65 C. 1.75 D. 1.70

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter8: Analysis Of Risk And Return

Section: Chapter Questions

Problem 21P

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2. Consider a portfolio of three stocks. The weights of the three stocks are 0.2, 0.3, and 0.5.
The betas of the three stocks are 1, 1.5, and 2. The beta of the portfolio is
A. 1.55
B. 1.65
C. 1.75
D. 1.70

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