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Betas Answer the questions below for assets A to D shown in the table: a. What impact would a 22% increase in the market return

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Betas Answer the questions below for assets A to D shown in the table: a. What impact would a 22% increase in the market return be expected to have on each asset's return? b. What impact would a 8% decrease in the market return be expected to have on each asset's return? c. If you believed that the market return would increase in the near future, which asset would you prefer? d. If you believed that the market retum would decrease in the near future, which asset would you prefer? a. If the market return increased by 22%, the impact to the return of asset A is %. (Round to one decimal place. Enter a positive percentage for an increase and a negative for a decrease in the return.) If the market return increased by 22%, the impact to the return of asset B is %. (Round to one decimal place. Enter a positive percentage for an increase and a negative for a decrease in the return.) If the market return increased by 22%, the impact to the return of asset Cis%. (Round to one decimal place. Enter a positive percentage for an increase and a negative for a decrease in the return.) If the market return increased by 22%, the impact to the return of asset D is %. (Round to one decimal place. Enter a positive percentage for an increase and a negative for a decrease in the return.) b. If the market return decreased by 8%, the impact to the return of asset Ais%. (Round to one decimal place. Enter a positive percentage for an increase and a negative for a decrease in the retum.) If the market return decreased by 8%, the impact to the retum of asset B is %. (Round to one decimal place. Enter a positive percentage for an increase and a negative for a decrease in the return.) If the market return decreased by 8%, the impact to the retum of asset Cis%. (Round to one decimal place. Enter a positive percentage for an increase and a negative for a decrease in the return.) the return.) If the market return decreased by 8%, the impact to the return of asset Dis%. (Round to one decimal place. Enter a positive percentage for an increase and a negative for a decrease c. If you were certain that the market return would increase in the near future, which asset would you prefer? (Select the best answer below.) O A. Asset D OB Asset C O c. Asset B OD Asset A (Click on the icon located on the top-right corner of the data table below in order to copy its contents into a spreadsheet.) Alternative A Expected return 20% 23% 17% 14% Standard deviation of return 8.3% 9.3% 6.6% 4.8% B Betas Answer the questions below for assets A to D shown in the table: a. What impact would a 22% increase in the market return be expected to have on each asset's return? b. What impact would a 8% decrease in the market return be expected to have on each asset's return? c. If you believed that the market return would increase in the near future, which asset would you prefer? d. If you believed that the market retum would decrease in the near future, which asset would you prefer? a. If the market return increased by 22%, the impact to the return of asset A is %. (Round to one decimal place. Enter a positive percentage for an increase and a negative for a decrease in the return.) If the market return increased by 22%, the impact to the return of asset B is %. (Round to one decimal place. Enter a positive percentage for an increase and a negative for a decrease in the return.) If the market return increased by 22%, the impact to the return of asset Cis%. (Round to one decimal place. Enter a positive percentage for an increase and a negative for a decrease in the return.) If the market return increased by 22%, the impact to the return of asset D is %. (Round to one decimal place. Enter a positive percentage for an increase and a negative for a decrease in the return.) b. If the market return decreased by 8%, the impact to the return of asset Ais%. (Round to one decimal place. Enter a positive percentage for an increase and a negative for a decrease in the retum.) If the market return decreased by 8%, the impact to the retum of asset B is %. (Round to one decimal place. Enter a positive percentage for an increase and a negative for a decrease in the return.) If the market return decreased by 8%, the impact to the retum of asset Cis%. (Round to one decimal place. Enter a positive percentage for an increase and a negative for a decrease in the return.) the return.) If the market return decreased by 8%, the impact to the return of asset Dis%. (Round to one decimal place. Enter a positive percentage for an increase and a negative for a decrease c. If you were certain that the market return would increase in the near future, which asset would you prefer? (Select the best answer below.) O A. Asset D OB Asset C O c. Asset B OD Asset A (Click on the icon located on the top-right corner of the data table below in order to copy its contents into a spreadsheet.) Alternative A Expected return 20% 23% 17% 14% Standard deviation of return 8.3% 9.3% 6.6% 4.8% B

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