Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on Jul 20, 2024

A stock has a beta of 1.05, the expected return on the market is 16 percent, and the risk-free rate is 5.6 percent. What must

A stock has a beta of 1.05, the expected return on the market is 16 percent, and the risk-free rate is 5.6 percent. What must the expected return on this stock be?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

Step: 3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Finance For Real Estate Development

Authors: Charles Long

1st Edition

0874204305, 978-0874204308

More Books

Students explore these related Finance questions

Question

The outstanding capital stock of Pennington Corporation consists of 2,000 shares of $100 par value, 6% preferred, and 5,000 shares of $50 par value common. Assuming that the company has retained...

Answered: 3 weeks ago

Question

What role do reviewing or appellate courts play in the judicial process? How do they differ from trial courts?

Answered: 3 weeks ago

Question

=+Dependent variable is: WM Rev R squared = 94.3% R squared (adjusted) = 91.6% s = 1.121 with 39 - 13 = 26 degrees of freedom Variable Coeff SE(Coeff) t-ratio P-value Intercept 12.0322 0.6562 18.3...

Answered: 3 weeks ago

Question

D-List Calendar Co. specializes in manufacturing calendars that depict obscure comedians. The company uses a standard cost system to control its costs. During one month of operations, the direct...

Answered: 3 weeks ago

Question

6. (20) Express the difference between isothermal and isentropic compressibilities (TS) using measurable quantities such as heat capacity and volume expansion. Do not leave any differentials in your

Answered: 3 weeks ago

Question

Saved The following amounts are reported in the ledger of Mariah Company: Assets $80,000 Liabilities 36,000 Retained Earnings 12,000 What is the balance in the Common Stock account? Multiple Choice...

Answered: 3 weeks ago

Question

Suppose that Viacom and QVC made tender offers to the Paramount shareholders, rather than offering a merger. On March 1 , 1 , Viacom offered to pay $ 7 5 7 5 per Paramount share. On March 5 , 5 , QVC...

Answered: 3 weeks ago

Question

A plant makes monthly shipments of electric drills to a wholesaler in average lot sizes of 280 drills. The wholesaler's average demand is 70 drills a week, and the lead time from the plant is 3...

Answered: 3 weeks ago

Question

Paco, Inc. is considering obtaining funding through advances against receivables. The total annual credit sales are $1,200,000, the terms are net/30 days, and the payment is made on the average of 30...

Answered: 3 weeks ago

Question

Question 6: Given the data below, what is the simple linear regression model that can be used to predict sales in future weeks? You have the following regression equation: Yt = 143.5 + 6.3x

Answered: 3 weeks ago

Question

1. What is P(A=a2,B=b2) P(A=a2,B=b2)? 2. Observing events from this probability distribution, what is the probability of seeing (a1, b1) then (a2, b2)? 3. Calculate the marginal probability...

Answered: 3 weeks ago

Question

OUTCOME 2 Identify the types of and reasons for implementing individual incentive plans and discuss under what conditions individual incentives are appropriate.

Answered: 3 weeks ago

Question

2. Assume that you are a consultant for a small fastfood retail outlet. What would your suggestions be for key steps in designing a successful incentive plan? Discuss a few recommendations you would...

Answered: 3 weeks ago

Question

OUTCOME 3 Indicate the advantage of each of the principal methods used to compensate salespeople.

Answered: 3 weeks ago

Previous Question Next Question