FREE Trial
Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

A stock has an expected return of 10.2 percent, the risk-free rate is 2 percent, and the morket risk premium is 9 percent. What must

image text in transcribed
A stock has an expected return of 10.2 percent, the risk-free rate is 2 percent, and the morket risk premium is 9 percent. What must the beta of this stock be? (Do not round intermediate calculations and round your answer to 4 decimal places, eg. 3216) Multiple Choice 911 O O 10255 8420

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

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

Step: 2

blur-text-image

Step: 3

blur-text-image

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

International Finance

International Finance

Authors: Keith Pilbeam

2nd Edition

0333730976, 978-0333730973

More Books

Students also viewed these Finance questions

Question

★★★★★
Your client sold stock for $3,059 this year. Her brokerage fees on the sale were $19. The tax schedule for reporting capital gains asks for the Amount Realized, which equals the gross selling price,...

Answered: 1 week ago

Question

★★★★★
In Exercises: a) Find the vertex. b) Find the axis of symmetry. c) Determine whether there is a maximum or a minimum value and find that value. d) Graph the function. g(x) = 2x 2 + 6x + 8

Answered: 1 week ago

Question

★★★★★
To what extent does the study add fresh information, fill gaps in the existing record, and/or provide fresh insights and perspectives?

Answered: 1 week ago

Question

★★★★★
On December 31, 2014, Ling Co. estimated that 2% of its net sales of $450,000 will become uncollectible. The company recorded this amount as an addition to Allowance for Doubtful Accounts. On May 11,...

Answered: 1 week ago

Question

★★★★★
Exercise 8-4 (Static) Direct Labor Budget [LO8-5] The production manager of Rordan Corporation has submitted the following quarterly production forecast for the upcoming fiscal year: Each unit...

Answered: 1 week ago

Question

★★★★★
Poleer i a direcor of Sle P Limied inoled in making omen clohing Situation 1. She arranges with the compan bank o ranfer an amon of from he company account into a personal bank account held by her in...

Answered: 1 week ago

Question

★★★★★
Selected topic: Supply chain Management Pick any topic of your choosing related to operations management and use 5-7 sources and write paper. Bonus points if you cover a topic that covers financial...

Answered: 1 week ago

Question

★★★★★
Research an uncertainty technique that does not use the three axioms of probability

Answered: 1 week ago

Question

★★★★★
The Dexter Products Company manufactures a single product. Its operations are a continuing process carried on in two departments - machining and finishing. In the production process, materials are...

Answered: 1 week ago

Question

★★★★★
Correlation is an important concept in portfolio optimisation. Portfolios with combinations of assets with low or negative correlation tend to display lower volatility than individual assets or...

Answered: 1 week ago

Question

★★★★★
The following data was prepared by the Oriole Company. Total Variable Fixed Sales price $22/unit Direct materials used $82,650 Direct labor $96,000 Manufacturing overhead $99,600 $9,600 $90,000...

Answered: 1 week ago

Question

★★★★★
Why are alternative work arrangements useful approaches for both the employer and the employee?

Answered: 1 week ago

Question

★★★★★
LO3 Describe the two most common methods of applying for a job.

Answered: 1 week ago

Question

★★★★★
LO1 Explain the strategic importance of the recruitment function.

Answered: 1 week ago

Previous Question Next Question