Question

In: Finance

You purchase 43 shares of General Motors stock at $35.9 per share. Additionally, you purchase 23...

You purchase 43 shares of General Motors stock at $35.9 per share. Additionally, you purchase 23 shares of Ford for $112.5 and 48 shares of Fiat for $131.8 each. What is your portfolio weight for GM?

(Enter your response as a percentage with two decimal places, ex: 12.34)

Solutions

Expert Solution

Ans 14.76%

Stock Shares (i) Price (ii) Total Amount (i)* (ii)
General Motors                   43.00                  35.90                              1,543.70
Ford                   23.00                112.50                              2,587.50
Fiat                   48.00                131.80                              6,326.40
Total                            10,457.60
portfolio weight for GM = Investment in GM / Total Investment * 100
1543.70 / 10457.60 * 100
14.76%

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