Connect Only Problem 10-14 Portfolio Beta and Required Return (LG10-3) You hold the positions in the table below. Advanced Micro Devices FedEx Corporation Microsoft Sara Lee Corporation Portfolio beta Required return Price $24.00 168.00 19.00 20.00 % Shares 392 77 140 224 What is the beta of your portfolio? If you expect the market to earn 10.50 percent and the risk-free rate is 6.00 percent, what is the required return of the portfolio? Note: Do not round intermediate calculations and round your final answers to 2 decimal places. Beta 4.88 1.41 1.02 1.51
Connect Only Problem 10-14 Portfolio Beta and Required Return (LG10-3) You hold the positions in the table below. Advanced Micro Devices FedEx Corporation Microsoft Sara Lee Corporation Portfolio beta Required return Price $24.00 168.00 19.00 20.00 % Shares 392 77 140 224 What is the beta of your portfolio? If you expect the market to earn 10.50 percent and the risk-free rate is 6.00 percent, what is the required return of the portfolio? Note: Do not round intermediate calculations and round your final answers to 2 decimal places. Beta 4.88 1.41 1.02 1.51
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
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Transcribed Image Text:Connect Only Problem 10-14 Portfolio Beta and Required Return (LG10-3)
You hold the positions in the table below.
Advanced Micro Devices
FedEx Corporation
Microsoft
Sara Lee Corporation
Portfolio beta
Required return
Price
$24.00
168.00
19.00
20.00
%
Shares
392
77
140
224
What is the beta of your portfolio?
If you expect the market to earn 10.50 percent and the risk-free rate is 6.00 percent, what is the required return of the portfolio?
Note: Do not round intermediate calculations and round your final answers to 2 decimal places.
Beta
4.88
1.41
1.02
1.51
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