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Consider the following information for Shefali Chopra's 3-stock portfolio. If the market required rate of return (km) is currently 16 percent, and the nominal risk

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Consider the following information for Shefali Chopra's 3-stock portfolio. If the market required rate of return (km) is currently 16 percent, and the nominal risk free rate is 6.5 percent, what is the required rate of return on her portfolio? Stock Beta 1.2 Investment $2,000 5,000 3,000 0.93 1.39 A 23.65 percent OB. 17.16 percent C. 17.53 percent OD. 24.45 percent OE 16.68 percent QUESTION 17 Which of the following is most CORRECT? A Equity Value Added" is the measurement of the difference between the market value of the firm's equity today and the amount of equity capital that has been supplied by investors. 5. When we are expecting a recession, the Federal Reserve is more likely to increase short-term interest rates than to decrease them. banden thout abandoname n t in the C. P HIL OE. 16.68 percent QUESTION 17 Which of the following is most CORRECT? A "Equity Value Added" is the measurement of the difference between the market value of the firm's equity today and the amount of equity capital that has been supplied by investors. . When we are expecting a recession, the Federal Reserve is more likely to increase short-term interest rates than to decrease them. OC. If you wanted a capital gain, you would want to buy bonds now if you thought the bond coupon rates were going to go up in the future. D. The difference between EVA and Net Income is the cost of the firm's debt. E. Deficits, whether federal or trade, tend to push interest rates higher. QUESTION 18 Click Save and Submit to save and submit. Click Save All Answers to save all answers, Save Al Al

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