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Blackboard help QUESTION 42 2. the risk. The higher the standard deviation of returns on a security, the the expected rate of return and the
Blackboard help QUESTION 42 2. the risk. The higher the standard deviation of returns on a security, the the expected rate of return and the A. lower; higher OB. lower; lower OC. higher; higher OD. higher; lower OE. You cannot determine anything about the expected rate of return from the standard deviation. QUESTION 43 The next dividend payment by Swenson, Inc., will be $3.80 per share. The dividends are anticipated to maintain a 5.5 percent growth rate, forever. If the stock currently sells for $48.50 per share, what is the required return? O A. 9.74 percent OB. 10.02 percent C.9.21 percent OD.7.84 percent O E. 13.34 percent QUESTION 44 The General Store has a cost of equity of 15.8%, a pre-tax cost of debt of 7.7%, and a tax rate of 32%. What us the firm's weighted average cost of capital (WACC) if the debt-to-equity ratio is 0.50? O A. 11.72% OB. 10.52% O C. 12.78% OD. 14.93% O E. 12.31%
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