Why Choose Us?
0% AI Guarantee
Human-written only.
24/7 Support
Anytime, anywhere.
Plagiarism Free
100% Original.
Expert Tutors
Masters & PhDs.
100% Confidential
Your privacy matters.
On-Time Delivery
Never miss a deadline.
What are the portfolio weights for a portfolio that has 135 shares of stock A that sell for $71 per share and 95 shares of stock B that sell for $84 per share?
What are the portfolio weights for a portfolio that has 135 shares of stock A that sell for $71 per share and 95 shares of stock B that sell for $84 per share?
Expert Solution
Stock A: 54.5687%
Stock B: 45.4313%
In order to find the portfolio weights, we need to determine the total dollar value for each stock.
135 shares of stock valued at $71 each give Stock A a value of $9,585
95 shares of stock valued at $84 each give Stock B a value of $7,980
Add the two total values together to get a portfolio value of $17,565
Now divide each stock's value by the portfolio value to get the weights.
Stock A: 9,585 / 17,565 = 0.545687 or 54.5687%.
Stock B: 7,980 / 17,565 = 0.454313 or 45.4313%
Archived Solution
You have full access to this solution. To save a copy with all formatting and attachments, use the button below.
For ready-to-submit work, please order a fresh solution below.





