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Help quickly!!!! Jerry Allen graduated from the University of Arizona with a degree in Finance in 2 0 1 1 and took a job with
Help quickly!!!! Jerry Allen graduated from the University of Arizona with a degree in Finance in and took a job with an investment banking firm as a financial analyst. One of his first assignment is to investigate the investorexpected rate of return for technology firms: Apple APPL Dell DELL and Hewlett Packard HPQ Jerrys supervisor suggested that he make his estimates using CAPM where the riskfree rate is the expected return on the market is The expected rate return for Apple using the beta from Yahoo and the beta from MSN and a riskfree rate of and a market risk premium of tableBETAYahoo,MSNApple APPLDell DELLHewlett Packard HPQ
Calculate the risk premium of the market show all the working formula where applicable
Calculate the expected return using CAPM equation using a beta coefficient of
Solve the expected return for Apple using the beta from Yahoo and the beta from MSN and a riskfree rate of and a market risk premium of yield
Calculate the expected return with the CAPM equation using each of the following beta estimates for the three technology firms. Present the information in a tabulated format
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