Question

QUESTION 23

1. Company	Ticker	Price	Number of shares	Beta
   American Electric power	AEP	$                  91.40	1000	0.07
   Dillards	DDS	$                  72.98	1000	1.15
   AMD	AMD	$                  39.10	2000	3.06
   U.S. Steel	X	$                  13.51	5000	3.04
   Google	GOOG	$             1,294.54	250	1.01
   Walmart	WMT	$                119.61	3000	0.41
   YUM Brands	YUM	$                  97.69	2000	0.37
   Jet Blue	JBLU	$                  19.01	5750	0.85

   What is the total value of this portfolio?

   What is the portfolio Beta?

   You will need this information for the next questions, please note your answers.

Answer 1

Company	Price	Number of shares	Value
American Electric power	91.40	1000	91400.00
Dillards	72.98	1000	72980.00
AMD	39.10	2000	78200.00
U.S. steel	13.51	5000	67550.00
Google	1294.54	250	323635.00
Walmart	119.61	3000	358830.00
YUM brands	97.69	2000	195380.00
Jet blue	19.01	5750	109307.50
Value of portfolio			1297282.50

Company	Portfolio beta [ Beta * Value of stock / Value of portfolio ]
American Electric power	0.005
Dillards	0.065
AMD	0.184
U.S. steel	0.158
Google	0.252
Walmart	0.113
YUM brands	0.056
Jet blue	0.072
Portfolio beta	0.91