What Is the Beta of a Portfolio That Consists of the Following

question 92

Multiple Choice

What is the beta of a portfolio that consists of the following?
$$\begin{array} { c r r } \text { Security } & \text { Invested } & \text { Beta } \\\text { E } & \$ 14,000 & .59 \\\text { F } & \$ 22,000 & 1.46 \\\text { G } & \$ 25,000 & 2.20 \\\text { H } & \$ 19,000 & 1.67\end{array}$$

• A)1.21
• B)1.34
• C)1.36
• D)1.49
• E)1.59

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Definitions:

Rotors

The rotating part of an electrical machine such as a motor or generator, which turns around an axis.

Electric Motor

A machine that converts electrical energy into mechanical energy, used in countless applications from household appliances to industrial machines.

Mechanical Energy

The energy possessed by an object due to its motion or position, capable of producing mechanical work.

Electrical Energy

The form of energy resulting from the flow of electric charge, widely used for domestic, commercial, and industrial applications.