Question
1. The market risk premium is 7.2. The firm's required return is 11.2%. The risk-free rate is 5%. What is the firm's beta? 2. Your
1. The market risk premium is 7.2. The firm's required return is 11.2%. The risk-free rate is 5%. What is the firm's beta?
2. Your portfolio has a beta of 1.4. The portfolio consists of $30,000 of GM and $20,000 of Ford Stock. GM's beta is 1.1. What is the beta of Ford?
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Financial Management For Decision Makers
Authors: Peter Atrill
7th Edition
129201606X, 978-1292016061
