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A portfolio has 95 shares of Stock A that sell for $39 per share and 105 shares of Stock B that sell for $22 per share.

Required:

(a) What is the portfolio weight of Stock A?

HINT: The portfolio weight is the percent of the portfolio's total value that is invested in Stock A

(b)What is the portfolio weight of Stock B?

Hint: Whatever is not invested in Stock A must be invested in Stock B, so the weights must sum to 100%.

Basic Finance, Finance

  • Category:- Basic Finance
  • Reference No.:- M956465

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