What Is the Beta of a Portfolio If 20 Percent

question 37

Multiple Choice

What is the beta of a portfolio if 20 percent of the funds are invested in Stock A with a beta of 2,30 percent in Stock B with a beta of 0.8,15 percent in Stock C with a beta of 2.2,and the remainder in Stock D with a beta of 1.4?

• A) 1.23
• B) 1.46
• C) 1.74
• D) 1.98

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Definitions:

Transportation Alternatives

Different modes of transport aside from personal vehicles, such as biking, walking, public transit, and carpooling, aimed at reducing congestion and environmental impact.

Robot

Reprogrammable machine capable of performing numerous tasks that require manipulation of materials and tools.

Computer-Aided Manufacturing

Computer-Aided Manufacturing (CAM) involves using software and technology to automate manufacturing processes, improving efficiency and accuracy.

Environmental Impact

The effect of human activities on the natural environment, including pollution, habitat destruction, and climate change.