6) Stock A has the following retums for various states of the economy Recessiorn 10% 5% 15% 25% 30% Below Average 20% 40% 20% 10% Average Above Average Boom Stock A's standard deviation of returns is A) 10.25%. B) 11.14%. C) 14.75% D) 20% 7) Heidi has invested $25,000 in ABC stocks. The risk free rate is 25% and market risk premium is 1 1%. If be stock has a beta of 1.3, what is expected return on the stock in a percentage format? A) 10.25%. B) 13.50%. C) 15.50%. D) 16.80% 8) XYZ Inc. issued bonds on Jan 1, 2010. The bonds had a coupon rate of 8.5%.. The face value of the bonds is $1,000 and the bonds mature on Jan 1, 2020. An investor has a required return of 1196? Find the difference between the present value of the bonds if the coupon interest were paid semiannually instead of annually. (Round up to two decimal places) A) $5.25 B)$2.15 C) S3.30 D) $4.00 9) W Inc. preferred stock pays a $2.50 annual dividend. What is the value of the stock if your required rate of return is 12%? A) $20.83 B) S15.50 C) $25.00 D) $ 18.05 10 ABC paid $1.32 dividends per share last year. The firm's projected growth rate is 6% for the foreseeable future. If the investor's required rate of return for the company is 10%, what is the value of the stock? A) $35 B) S18 C) S28 D) $20