Use the Information for the Question(s)below

question 58

Multiple Choice

Use the information for the question(s) below.
Suppose you invest $20,000 by purchasing 200 shares of Abbott Labs (ABT) at $50 per share,200 shares of Lowes (LOW) at $30 per share,and 100 shares of Ball Corporation (BLL) at $40 per share.
-Suppose over the next year Ball has a return of 12.5%,Lowes has a return of 20%,and Abbott Labs has a return of -10%.The weight on Ball Corporation in your portfolio after one year is closest to:

• A)20.0%
• B)12.5%
• C)20.7%
• D)21.7%

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Definitions:

Perishable Goods

Items, especially foodstuffs, that are subject to spoilage and decay in a short period of time if not properly cared for.

Merchant

A person or company engaged in the trade of goods, specifically in the context of consumer protection laws, someone dealing in goods of the kind involved in the transaction.

Reasonable Effort

The degree of diligence and attention expected under certain circumstances, typically what a reasonable person would do.

Nonconforming Goods

Merchandise that does not meet the specifications or requirements as outlined in a contract.