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answer me fast please All parts 5 marks) 15. Briefly explain the following: (1.25 each a). Debentures b). Zero Coupon Bonds c). Junk Bonds d).
answer me fast please
All parts
5 marks) 15. Briefly explain the following: (1.25 each a). Debentures b). Zero Coupon Bonds c). Junk Bonds d). Mezzanine Finance 16. The returns on shares of company A and B vary depending on the state of economic growth. State of the economy Boom Growth Recession Probability P 0.3 0.4 0.3 Return on A RA (%) 20 10 0 Return on B Rg (%) 3 35 - 5 a). Calculate expected return and standard deviation of company A shares. (2 marks) b). Calculate expected return and standard deviation of company B shares. (2 marks) c). What are the covariance and the correlation coefficient between returns on A and returns on B? (1 mark)Step by Step Solution
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