Question
Assume that Umbrella Corp. stock has a required rate of return (rs) = 36. If 30 year T-Bonds are paying a risk-free 3.7% and the
Assume that Umbrella Corp. stock has a required rate of return (rs) = 36. If 30 year T-Bonds are paying a risk-free 3.7% and the S&P 500 (a good proxy for the market return) is returning 9.3%.
Alice wants to know: what is Umbrella's beta?
Answer to two decimal places.
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Public Finance
Authors: Harvey S Rosen, Ted Gayer
9th International Edition
0071267883, 9780071267885
