USE THE INFORMATION BELOW FOR THE FOLLOWING PROBLEM(S)
Assume that you hold a two-stock portfolio. You are provided with the following information on your holdings:

-Refer to Exhibit 1.6. Calculate the market weights for stock 1 and 2 based on period t values.
A) 39%for stock 1 and 61% for stock 2
B) 50% for stock 1 and 50% for stock 2
C) 71% for stock 1 and 29% for stock 2
D) 29% for stock 1 and 71% for stock 2
E) 30% for stock 1 and 82% for stock 2

Question

USE THE INFORMATION BELOW FOR THE FOLLOWING PROBLEM(S)
Assume that you hold a two-stock portfolio. You are provided with the following information on your holdings:
 
-Refer to Exhibit 1.6. Calculate the market weights for stock 1 and 2 based on period t values.
A) 39%for stock 1 and 61% for stock 2 
B) 50% for stock 1 and 50% for stock 2 
C) 71% for stock 1 and 29% for stock 2 
D) 29% for stock 1 and 71% for stock 2 
E) 30% for stock 1 and 82% for stock 2

Quizplus · Accepted Answer

The Answer of USE THE INFORMATION BELOW FOR THE FOLLOWING PROBLEM(S)
Assume that you hold a two-stock portfolio. You are provided with the following information on your holdings:
 
-Refer to Exhibit 1.6. Calculate the market weights for stock 1 and 2 based on period t values.
A) 39%for stock 1 and 61% for stock 2 
B) 50% for stock 1 and 50% for stock 2 
C) 71% for stock 1 and 29% for stock 2 
D) 29% for stock 1 and 71% for stock 2 
E) 30% for stock 1 and 82% for stock 2