You wish to create a compact portfolio of 10 different stocks. To improve diversification, you want to enforce a good variety of industries, so you have decided on the following selection: Number of companies Industry Consumer goods 3 Healthcare 4 Manufacturing the rest You are making your selection from the top 10 U.S. companies by market capitalization, in each of your target industries. How many different ways can you create your portfolio?
You wish to create a compact portfolio of 10 different stocks. To improve diversification, you want to enforce a good variety of industries, so you have decided on the following selection: Number of companies Industry Consumer goods 3 Healthcare 4 Manufacturing the rest You are making your selection from the top 10 U.S. companies by market capitalization, in each of your target industries. How many different ways can you create your portfolio?
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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Question
A4)
![You wish to create a compact portfolio of 10 different stocks. To improve
diversification, you want to enforce a good variety of industries, so you have decided
on the following selection:
Number of companies
Industry
Consumer goods 3
Healthcare
4
Manufacturing
the rest
You are making your selection from the top 10 U.S. companies by market
capitalization, in each of your target industries. How many different ways can you
create your portfolio?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F237bf158-e900-4d3c-a87a-56b361217323%2F7783c8c2-f676-486b-b2f0-b9b41e8845b3%2Fjskfry_processed.jpeg&w=3840&q=75)
Transcribed Image Text:You wish to create a compact portfolio of 10 different stocks. To improve
diversification, you want to enforce a good variety of industries, so you have decided
on the following selection:
Number of companies
Industry
Consumer goods 3
Healthcare
4
Manufacturing
the rest
You are making your selection from the top 10 U.S. companies by market
capitalization, in each of your target industries. How many different ways can you
create your portfolio?
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