Question

Given $100,000 to​ invest, construct a​ value-weighted portfolio of the four stocks listed below.

Stock	​Price/Share ​($)	Number of Shares Outstanding​ (millions)
Golden Seas	14	1.13
Jacobs and Jacobs	24	1.28
MAG	45	30.01
PDJB	6	13.55

Enter the portfolio weight​ below:  ​(Round to two decimal​ places.)

Stock	​% of Total Value ​(portfolio weight)
Golden Seas		nothing​%

Enter the portfolio weight​ below:  ​(Round to two decimal​ places.)

Stock	​% of Total Value ​(portfolio weight)
Jacobs and Jacobs		nothing​%

Enter the portfolio weight​ below:  ​(Round to two decimal​ places.)

Stock	​% of Total Value ​(portfolio weight)
MAG		nothing​%

Enter the portfolio weight​ below: ​(Round to two decimal​ places.)

Stock	​% of Total Value​ (portfolio weight)
PDJB		nothing​%

Answer 1

Stock	Number of shares	Price per share	Market Value [No of Shares x Price]	% of Total Value [Market value / Total Value]
Golden Seas	1.13	14.00	15.82	1.07%
Jacobs and Jacobs	1.28	24.00	30.72	2.08%
MAG	30.01	45.00	1,350.45	91.35%
PDJB	13.55	6.00	81.30	5.50%
			1,478.29	100.00%

% of Total Value - Golden Seas

% of Total Value - Golden Seas = (15.82 / 1,478.29) x 100

= 1.07%

% of Total Value - Jacobs and Jacobs

% of Total Value - Jacobs and Jacobs = (30.72 / 1,478.29) x 100

= 2.08%

% of Total Value – MAG

% of Total Value – MAG = (1,350.45 / 1,478.29) x 100

= 91.35%

% of Total Value – PDJB

% of Total Value – PDJB = (81.30 / 1,478.29) x 100

= 5.50%