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of different c tocks each stock value is $15,000. The portfolio beta is equal to 1.5. You ecided to sell one of your stocks that has a beta equal to 1.85 for $15,0 lan to use the proceeds to purchase another stock that has a beta equ- .85. Then the portfolio new beta is 1.43333. Then how much is the total f common stocks that you approximately have in your portfolio? *

of different c tocks each stock value is $15,000. The portfolio beta is equal to 1.5. You ecided to sell one of your stocks that has a beta equal to 1.85 for $15,0 lan to use the proceeds to purchase another stock that has a beta equ- .85. Then the portfolio new beta is 1.43333. Then how much is the total f common stocks that you approximately have in your portfolio? *

Essentials Of Investments
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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20) You hold a diversified portfolio consisting of a number of different common stocks each stock value is $15,000. The portfolio beta is equal to 1.5. You have decided to sell one of your stocks that has a beta equal to 1.85 for $15,000. You plan to use the proceeds to purchase another stock that has a beta equal to 0.85. Then the portfolio new beta is 1.43333. Then how much is the total number of common stocks that you approximately have in your portfolio? * O A) 22 shares B) 20 shares O C) 15 shares O D) 10 shares E) None of the above
Transcribed Image Text:20) You hold a diversified portfolio consisting of a number of different common stocks each stock value is $15,000. The portfolio beta is equal to 1.5. You have decided to sell one of your stocks that has a beta equal to 1.85 for $15,000. You plan to use the proceeds to purchase another stock that has a beta equal to 0.85. Then the portfolio new beta is 1.43333. Then how much is the total number of common stocks that you approximately have in your portfolio? * O A) 22 shares B) 20 shares O C) 15 shares O D) 10 shares E) None of the above
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