You Hold a Diversified $100,000 Portfolio Consisting of 20 Stocks

question 7

Multiple Choice

You hold a diversified $100,000 portfolio consisting of 20 stocks with $5,000 invested in each.The portfolio's beta is 1.12.You plan to sell a stock with b = 0.90 and use the proceeds to buy a new stock with b = 1.80.What will the portfolio's new beta be?

• A)1.286
• B)1.255
• C)1.224
• D)1.194
• E)1.165

Understand different coping strategies for stress and their classifications.

Familiarize with the physiological responses to stress, including hormone release and bodily reactions.

Analyze the impact of stress on health and well-being, including the potential for stress-related illnesses.

Identify key psychologists and their contributions to stress research and theory.

---

Definitions:

Marginal Revenue Curve

A graphical representation that shows how marginal revenue varies as output level changes, typically downward sloping for firms in competitive markets.

Demand Curve

A chart that displays how the cost of an item correlates with the amount of that item buyers are prepared to buy at different price levels.

Unregulated Monopolist

A monopoly that operates without regulatory oversight, setting prices and output levels without external control.

Economic Profit

The difference between total revenue and total costs, including both explicit and implicit costs, representing the financial gain in excess of the opportunity costs of resources used.