Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

1). Calculate the beta of a portfolio with an expected return of 16.70%. If the risk-free rate is equal to 5.00% and the expected market

1). Calculate the beta of a portfolio with an expected return of 16.70%. If the risk-free rate is equal to 5.00% and the expected market return is 14.00%.

Calculate the beta of a portfolio

2)

A portfolio is contains two stocks:X and YT.
Stock X has a standard deviation of 24.00%: based on returns.
Stock YT has a standard deviation of return of 18.00%: based on returns.
Stock X is 60% of the portfolio, and stock YT carries the rest.
If the return variance of the portfolio is .041,
then the correlation coefficient between the returns on X and YT is

3).

The market cap rate for TLLM is 8.00%.
Expected ROE(return on equity)=10.00%.
Expected EPS (earnings per share)=$5.00.
Plowback rate=60.00%.
Calculate the price to earnings ratio of TLLM.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Economics For Investment Decision Makers

Authors: Sandeep Singh, Christopher D Piros, Jerald E Pinto

1st Edition

1118111966, 9781118111963

More Books

Students also viewed these Finance questions

Question

State two characteristics of a probability.

Answered: 1 week ago

Question

d. Is it part of a concentration, minor, or major program?

Answered: 1 week ago