4 Suppose you are the money manager of a 14.24 million investment fund the fund ansists of four stocks with the following westments and beta Beta 1.39 (050) L25 0.75 Investment $ 320,000 A C 500,000 L320,000 1,900,000 D the market's reared rate of retine 11% and the uk be rate is what is the funds required rate of retum? Do not mund temedate canations, Round your answer to two decal places
4 Suppose you are the money manager of a 14.24 million investment fund the fund ansists of four stocks with the following westments and beta Beta 1.39 (050) L25 0.75 Investment $ 320,000 A C 500,000 L320,000 1,900,000 D the market's reared rate of retine 11% and the uk be rate is what is the funds required rate of retum? Do not mund temedate canations, Round your answer to two decal places
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Transcribed Image Text:4
Suppose you are the money manager of a 14.24 milion investment fund the fund mansists of four stocks with the following enestments and beta
Stock
Beta
1.39
(0.50)
L25
0.75
A
C
Investment
$320.000
500,000
L330,000
1,900,000
D
the market's reared rate of retin e 11% and the uk be rate is what is the funds required rate of retum? Do not mund rtumedate canulations, Round your answer to two decal places
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