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I please need the answers to this problem set today. This is intro do finance Bruce Watson Harvard. 1. Calculate the price of a stock

I please need the answers to this problem set today. This is intro do finance Bruce Watson Harvard.

image text in transcribed 1. Calculate the price of a stock that has a one-period horizon, is expected to pay a dividend of $.10 per share for the period, with the following prices and associated probabilities forecast at the end of the period: Probability 0.2 0.15 0.25 0.3 0.1 Price $15 $18 $21 $23 $25 The return on comparable stocks is 7%. HTML EditorKeyboard Shortcuts Font Sizes Paragraph p Flag this Question Question 2 Introduction (3 Parts, 15 points total) JetBlue Airways Corporation (JBLU) reports the following in its latest quarterly report: Authorized shares 500,000,000 Shares issued 323,731,718 Shares outstanding 275,601,419 Flag this Question Question 25 pts 2a. How many shares are in the treasury stock? HTML EditorKeyboard Shortcuts Font Sizes Paragraph p Flag this Question Question 35 pts 2b. If the float is 255,730,204 shares, find the number of restricted shares. HTML EditorKeyboard Shortcuts Font Sizes Paragraph p Flag this Question Question 45 pts 2c. Recently, JBLU closed at $17.01 per share. Based on this price, find the market capitalization of the company. HTML EditorKeyboard Shortcuts Font Sizes Paragraph p Flag this Question Questions 4 & 5 Introduction Short Answer (35 points total) To answer questions 3 and 4, refer to the articles entitled \"Are Markets Efficient?" by Malkiel and Shleifer, in addition to what we covered in class. Flag this Question Question 55 pts 3a. Why do Malkiel, and those who think like him, believe in efficient market theory? HTML EditorKeyboard Shortcuts Font Sizes Paragraph p Flag this Question Question 65 pts 3b. What are three attacks on EMH that Malkiel attributes to the behavioralists? HTML EditorKeyboard Shortcuts Font Sizes Paragraph p Flag this Question Question 75 pts 3c. What does Malkiel believe about the market patterns the behavioralists claim to have discovered? HTML EditorKeyboard Shortcuts Font Sizes Paragraph p Flag this Question Question 85 pts 4a. How does Shleifer define arbitrage? How does he use the concept to argue against market efficiency? HTML EditorKeyboard Shortcuts Font Sizes Paragraph p Flag this Question Question 95 pts 4b. Why would the market value of Royal Dutch equal 1.5 times the market value of Shell if efficient market theory is correct? HTML EditorKeyboard Shortcuts Font Sizes Paragraph p Flag this Question Question 105 pts 4c. Why is the Royal Dutch/Shell case something of an embarrassment for EMH? HTML EditorKeyboard Shortcuts Font Sizes Paragraph p Flag this Question Question 115 pts 4d. How does the fact that arbitrage is risky argue against EMH? HTML EditorKeyboard Shortcuts Font Sizes Paragraph p Flag this Question Question 1210 pts 5. What is the beta of a stock with an expected return E(r ) = 15%, i when the risk-free rate rF = 4%, and the expected market return E(rM) = 12%? Show your work. HTML EditorKeyboard Shortcuts Font Sizes Paragraph p Flag this Question Question 1310 pts 6. True or false? Explain: Stocks with a beta of zero offer an expected rate of return of zero. HTML EditorKeyboard Shortcuts Font Sizes Paragraph p Flag this Question Question 7 Introduction (10 points total) Suppose the rate of return on short-term government securities (perceived to be risk-free) is 3%. Suppose also that the expected rate of return required by the market for a portfolio with a beta of 1 is 10%. According to the CAPM: Flag this Question Question 145 pts 7a. What is the expected rate of return on the market portfolio? HTML EditorKeyboard Shortcuts Font Sizes Paragraph p Flag this Question Question 155 pts 7b. What would be the expected rate of return on a stock with = 0? HTML EditorKeyboard Shortcuts Font Sizes Paragraph p Flag this Question Question 1610 pts 8. Describe the two kinds of contracts that an underwriter can negotiate with a firm wishing to do an IPO. Discuss which is more \"costly\" to the issuing firm, and why. HTML EditorKeyboard Shortcuts Font Sizes Paragraph p

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