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July 27, 2022
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32.
Portfolio Weights
An inve
stor owns $10,000 of
Adobe Systems stoc
k, $15,000 o
f Dow
Chemical, and $25,000 o
f Office Depot.
What are the portfolio
weights of each
stock?
33.
Portfolio Weights
An
investor o
wns $2,000 o
f Adobe System
s stock, $4,000 of
Dow
Chemical, and $6,000 o
f Office D
epot. What are the
portfolio weights of
each stock?
34.
Portfolio Return
Year-
to
–
date, Company O h
ad earned a
-2.10 perc
ent return. During
the
same time period, Co
mpany V earned 8
.00 percent
and Company
M earned 6.25 perce
nt. If
you have a portfolio
made up of 40 percen
t Company O, 30 pe
rcent Company V
, and 30
percent Company
M, what i
s your portfolio return?
35.
Portfolio Return
Year to date
, Company Y had e
arned a 7 percen
t return. Durin
g the same
time period, Comp
any R earned 9.25 p
ercent and Comp
any C earn
ed -2.25 percent. If you
have a portfolio mad
e up of 35 percent Y,
40 percen
t R, and 25 percen
t C, what is your
portfolio return?
36.
Portfolio Return
Year to date, Co
mpany Y had earn
ed a 10.8 perce
nt return. During th
e
same time period, Co
mpany R earned 12
.20 percent
and Company C e
arned
-1.56 percent.
If you have a portfo
lio made up of 45 p
ercent Y, 35
percent R, and 2
0 percent
C, what is
your portfolio
return?
37.
Average Return
The past
five monthly returns for K
and Company
are 4.25 per
cent, 4.13
percent, -2.05 perc
ent, 3.25 percent
, and 7.25 perc
ent. What is the
average monthl
y
return?
38.
Average Return
The past
five monthly returns for K
and Company
are 2.28 per
cent, 2.64
percent, -1.05 perc
ent, 4.25 percent
, and 9.25 perc
ent. What is the
average monthly
return?
39.
Average Return
The past f
ive monthly returns for P
G Company are 3
.25 percent,
-1.45
percent, 4.35 perc
ent, 6.49 percent, and
3.75 percent
. What is the average
monthly
return?
40.
Standard Deviation
The s
tandard deviation o
f the past fiv
e monthly returns fo
r K and
Company are 4.25 p
ercent, 4.13 perce
nt, –
2.05 percent, 3.25 perc
ent, and 7.75
percent.
What is the standard d
eviation?
41.
Standard Deviation
The s
tandard deviation o
f the past fiv
e monthly returns fo
r K and
Company are 2.28 p
ercent, 2.64 perce
nt, –
1.05 percent, 4.25 perc
ent, and 9.25
percent.
What is the standard d
eviation?
42.
Standard Deviation
The s
tandard deviation o
f the past fiv
e monthly returns fo
r PG
Company are 2.75 p
ercent,
-0.75 percent, 4.15 p
ercent, 6.29 percen
t, and 3.84 perc
ent.
What is the standard d
eviation?
43.
Portfolio Weights
If you o
wn 400 shares of
Air Line Inc. at $44
.50, 500 shares
of BuyRite
at $52.90, and 100 sh
ares of
MotorCity at $9.25, wha
t are the portfoli
o weights of each
stock?
44.
Portfolio Weights
If
you o
wn 100 shares of
Air Line Inc. at $42.5
0, 250 shares o
f BuyRite
at $53.25, and 350 sh
ares of
MotorCity
at $7.75, what are
the portfolio
weights of each
stock?
45.
Portfolio Return
At the be
ginning of the month, yo
u owned $6,000 o
f Company
G, $8,000
of Company S, and $
1,000 of
Company N. The monthly
returns for Company
G, Company
S, and Company N wer
e 7.25 percent,
-1.50 p
ercent, and -0
.23 percent.
What is your
portfolio retur
n?
46.
Portfolio Return
At the beg
inning of the month, you
owned $8,000 of
Company
G, $8,000
of Company S, and $
3,000 of
Company N. The monthly
returns for Company
G, Company
S, and Company N wer
e 7.80 percent, 1.50 pe
rcent, and
-0.75 percent. Wh
at is your
portfolio return?
47.
Portfolio Weights
You hav
e $15,040 to invest. Yo
u want to pu
rchase shares o
f Company
Air at $42.50, Compan
y B at $51.5
0, and Company
F at $9.75. How m
any shares of
each
company should you
purchase so th
at your portfolio
consists of
20 p
ercent Co
mpany A, 40
percent Company B
, and 40 percent Co
mpany F? Re
port only whole stock
shares.
48.
Portfolio Weights
Yo
u have $45,
050 to invest. Yo
u want to pu
rchase shares o
f Company
Air at $10.25, Compan
y B at $15.1
0, and Company
F at $9.05. How m
any shares of
each
company should you
purchase so th
at your portfolio
consists of 30 percent C
ompany A, 5
0
percent Company
B, and 20 percent Co
mpany F? R
eport only whole
stock shares.
49.
Portfolio Return
The following
table shows your
stock positio
ns at the beginni
ng of the
year, the dividends th
at each stock paid d
uring the y
ear, and the stock pric
es at the
end of
the year. What is you
r portfolio
percentage return?
50.
Portfolio Return
The following tabl
e shows your
stock positions a
t the beginning
of the
year, the dividends th
at each stock paid d
uring the y
ear, and the stock pric
es at the
end of
the year. What is you
r portfolio
percentage return?
51.
Portfolio Return
The following
table shows your
stock positio
ns at the beginni
ng of the
year, the dividends th
at each stock paid d
uring the y
ear, and the stock pric
es at the
end of
the year. What is you
r portfolio
percentage return?
52.
Average Return
The past f
ive monthly returns for P
G Company are 1
.25 percent,
-1.50
percent, 4.25 perc
ent, 3.75 percent, and
1.98 percent
. What is the average
monthly
return?
53.
Standard Deviation
Com
pute the standard d
eviation o
f the five monthly retur
ns for PG&E:
1.25 percent, –
1.50 percen
t, 4.25 percent, 3.75 p
ercent, and 1
.98 percent.
54.
Portfolio Weights
If you o
wn 600 shares of
Alaska Corporation
at $23.25, 4
50
shares of
Best Company at $34
.50, and 150 sh
ares of Motor C
ompany at $6.95,
what are the
portfolio weights of eac
h stock?
A.
Alaska = 0.6000, Best =
0.4500, Motor =
0.1500
Alaska = 0.3594, Best =
0.5332, Motor =
0.1074
55.
Portfolio Weights
If
you o
wn 1,000 shares of
Alaska Corporation a
t $19.95, 250 share
s of
Best Company at $17
.50, and 250 sh
ares of Motor C
ompany at $2.50,
what are the
portfolio weights of eac
h stock?
A.
Alaska = 0.1000, Best =
0.2500, Motor =
0.2500
Alaska = 0.4994, B
est = 0.4380, Motor
= 0.0626