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If you can submit answers in excel with clear inputs, formulas for results Could you please make excel calculators for the below questions? Question 1

If you can submit answers in excel with clear inputs, formulas for results

image text in transcribed Could you please make excel calculators for the below questions? Question 1 There is a 46% probability of a below average economy and a 54% probability of an average economy. If there is a below average economy stocks A and B will have returns of 5% and 8%, respectively. If there is an average economy stocks A and B will have returns of 13% and 14%, respectively. Calculate the expected returns and standard deviations of stocks A and B. Stock A Expected Return (4 decimals): Stock B Expected Return (4 decimals): Stock A Standard Deviation (4 decimals): Stock B Standard Deviation (4 decimals): Question 2 There is a 25% probability of an average economy and a 75% probability of an above average economy. You invest 10% of your money in Stock S and 90% of your money in Stock T. In an average economy the expected returns for Stock S and Stock T are 6% and 9%, respectively. In an above average economy the the expected returns for Stock S and T are 15% and 35%, respectively. What is the expected return for this two stock portfolio? Portfolio Expected Return (4 decimals): Question 3 You are invested 16% in growth stocks with a beta of 1.6, 17% in value stocks with a beta of 1.1, and 67% in the market portfolio. What is the beta of your portfolio? Portfolio Beta (1 decimal place): Question 4 An analyst gathered the following information for a stock and market parameters: stock beta = 0.8; expected return on the Market = 12.7%; expected return on Tbills = 4.8%; current stock Price = $8.51; expected stock price in one year = $13.37; expected dividend payment next year = $1.14. Calculate the required return and expected return for this stock. Required Return (4 decimal places): Expected Return (4 decimal places): Question 5 The market risk premium the next period is 8.3% and the riskfree rate is 2.4%. Stock Z has a beta of 0.6 and an expected return of 10.2%. What is the rewardtorisk ratio for the market portfolio and Stock Z? Market's rewardtorisk ratio (3 decimals): Stock Z's rewardtorisk ratio (3 decimals): Question 6 You bought a 22year, 8% semiannual coupon bond today and the current market rate of return is 4.1%. The bond is callable in 5 years with a $1095 call premium. What price did you pay for your bond? (Show your answer to nearest cent with no comma. For example $1,378.565 is entered as 1378.57) Question 7 Magnetic Corporation expects dividends to grow at a rate of 14.7% for the next two years. After two years dividends are expected to grow at a constant rate of 3.8%, indefinitely. Magnetic's required rate of return is 14.6% and they paid a $1.43 dividend today. What is the value of Magnetic Corporation's common stock per share? (Show your answers to the nearest cent) Dividend at end of year 1: Dividend at end of year 2: Dividend at end of year 3: Price of stock at end of year 2: Price of stock today: Question 8 Suppose a firm has 34 million shares of common stock outstanding at a price of $15.5 per share. The firm also has 100,000 bonds outstanding with a current price of $1171.1. The outstanding bonds have yield to maturity 7.8%. The firm's common stock beta is 2.5 and the corporate tax rate is 38%. The expected market return is 12% and the Tbill rate is 1%. What is the WACC for this firm? Weight of Equity (3 decimals): Weight of Debt (3 decimals): Cost of Equity (4 decimals): After tax Cost of Debt (4 decimals): WACC (4 decimals)

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