Question

In: Finance

You buy 90 shares of Tidepool Co. for $ 42 each and 185 shares of​ Madfish,...

You buy 90 shares of Tidepool Co. for $ 42 each and 185 shares of​ Madfish, Inc., for $ 16 each. What are the weights in your​ portfolio?

The weight of Tidepool Co. stock in the portfolio is _%. ​(Round to one decimal​ place.)

The weight of​ Madfish, Inc. stock in the portfolio is _​%. (Round to one decimal​ place.)

Solutions

Expert Solution

Solution:-

To Calculate the weight of Stock in Portfolio-

Market value of Tidepool Company share = 90 shares * $42

Market value of Tidepool Company share = $3,780

Market value of Madfish Company share = 185 shares * $16

Market value of Madfish Company share = $2,960

Total Portfolio value = Market value of Tidepool Company share + Market value of Madfish Company share

Total Portfolio value = $3,780 + $2,960

Total Portfolio value = $6,740.

Weight of Tidepool Stock in Portfolio =

Weight of Tidepool Stock in Portfolio =

Weight of Tidepool Stock in Portfolio = 56.08%

Weight of Madfish Stock in Portfolio =

Weight of Madfish Stock in Portfolio =

Weight of Madfish Stock in Portfolio = 43.92%

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jeff jeffy answered 1 year ago
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