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bachelor in business administration
Polytechnic State University Sanluis
Jan-2006 - Nov-2010
CPA
Polytechnic State University
Jan-2012 - Nov-2016
Professor
Harvard Square Academy (HS2)
Mar-2012 - Present
You want to create a portfolio equally as risky as the market, and you have $1,200,000 to invest. Consider the following information: |
 Â
Asset | Investment | Beta |
Stock A | $300,000 | 0.75 |
Stock B | $360,000 | 1.30 |
Stock C | Â | 1.55 |
Risk-free asset | Â | Â |
 |
 Â
Required: |
(a) | What is the investment in Stock C? (Do not round your intermediate calculations.) |
 |  |
 |
A $340,181 B $327,097 C $310,742 D $314,013 E $189,740 |
 Â
(b) | What is the investment in risk-free asset? (Do not round your intermediate calculations.) |
 |  |
 |
A $350,260 B $221,419 C $212,903 D $202,258 E $204,387 |
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