Assignment:
You decide to form a portfolio with the following amounts invested in the following stocks. What is the beta of the portfolio?
|
Stock
|
Amount
|
Beta
|
Expected Return
|
|
Bank of America
|
$7,800
|
0.90
|
13.5%
|
|
General Motores
|
$1,200
|
1.10
|
14.5%
|
|
JCPenney
|
$3,000
|
1.25
|
15.8%
|
|
Seagate
|
$3,000
|
1.60
|
18.1%
|