1, Norfolk Southern Corp has a beta of 2. and the expected market return is 0.16. In addition, Treasury bills (risk-free asset) are currently yielding 0.06. Find the expected return for Norfolk Southern Corp.

a. 30.62%

b. 20.31%

c. 26.00%

d. none of the answers is correct

e. 18.97%

2, American Tower Corp A has a beta of 1.33 and the expected market return is 0.08. In addition, Treasury bills (risk-free asset) are currently yielding 0.07. Find the expected return for American Tower Corp A.

a. 8.33%

b .6.08%

c. 13.30%

d. 16.61%

e. none of the answers is correct

3. What is Ingersoll-Rand Plc's coefficient of variation (CV) of possible returns given that the expected return is .08 and variance is .007848?

a. 9.5249

b. none of the answers is correct

c. 0.7432

d. 7.3329

e. 1.1073

4. Union Pacific Corp issues a 10 percent coupon bond with 23 years maturity and $1,000 face (par) value. If the yield to maturity of this bond is 14 percent, find the bond's price.

a. $678.78

b. $728.32

c. $582.66

d. none of the answers is correct

e. $1,011.28