Question
a company has assets $320 million, and it has debt with total face value of $195 million. If the standard deviation of monthly returns on
a company has assets $320 million, and it has debt with total face value of $195 million. If the standard deviation of monthly returns on the company stock is 0.158, what is the likelihood the company will be unable to repay the debt in three years when it is due?
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Essentials of Investments
Authors: Zvi Bodie, Alex Kane, Alan J. Marcus
10th edition
77835425, 978-0077835422
