13-18

13. Asset Y has a beta 12% 5 Asset Yssp of 1.5. The risk-free interest rate is 2%, while the market required return is 12%. Asset Y's is A, 10% B. 15% C.18% D. none of the above: the correct answer is 14. The market price of a preferred stock paying a S3 annual divided is $50. If you require a 5% rate of return, the true value of the preferred stock is A. $60 B. $65 C. $75 D. none of the above: the correct answer is- 15. Which of the following statements about the beta coefficient is not tr A. A beta of 1 implies that the stock's volatility is greater than that of the market B. A beta of