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Diamondbacks Inc/s stock has a beta of 1.0. If the market's expected return is 12%, what is the requested return on Diamondbacks Inc/s stock? a.

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Diamondbacks Inc/s stock has a beta of 1.0. If the market's expected return is 12%, what is the requested return on Diamondbacks Inc/s stock? a. 9% b. 10% c. 12% d. insufficient information is provided Which of the following has a beta of one? a. a risk - free asset b. the market c. all assets have a beta greater than one d. all assets have a beta less than one Starwood Resorts, Inc. stock's expected return is 9%. The expected returns on the market is 5% and the risk-free rate of return is expected to be 2%. Calculate the risk premium for Starwood Resorts' stock. a. 4% b.5% c. 7% d. 9% e. 2% Calculate the before-lax cost of debt on a new bond being brad by Polyphonic Spree, toe (PSI). The bond is a 10-yr, bond, it will pay a coupon rate of 12%, and its face value is $1K. PSI's proceeds from the issue will equal $806.67. a. 20.00% b.19.33% c. 16.00% d. 14.00% e. 12.00% f. 10.00% You're considering investing in Razorfish Incorporated (RI). Which of the folding are example systematic risk? i Risk of a possible stock market crash. II. risk of a possible employee strike at RI. III. Risk of a possible expensive recall of production. IV. Risk of a possible decrease in Federal Reserve into a. I only b. I, II, III, IV c. I and IV d. II, III If the beta of Harmon Inc.'s common stock decreases, Harmon's cost of equity. a. remains unaffected b. increases c. decreases

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