{ "key_pair_value_system": true, "answer_rating_count": "", "question_feedback_html": { "html_star": "", "html_star_feedback": "" }, "answer_average_rating_value": "", "answer_date_js": "2024-06-06T16:06:30-04:00", "answer_date": "2024-06-06 16:06:30", "is_docs_available": "", "is_excel_available": "", "is_pdf_available": "", "count_file_available": 0, "main_page": "student_question_view", "question_id": "2376077", "url": "\/study-help\/questions\/im-not-sure-how-to-solve-this-question-can-you-2376077", "question_creation_date_js": "2024-06-06T16:06:30-04:00", "question_creation_date": "Jun 06, 2024 04:06 PM", "meta_title": "[Solved] I'm not sure how to solve this question, | SolutionInn", "meta_description": "Answer of - I'm not sure how to solve this question, can you please show me a detailed response? Thank you! Suppose the risk-free | SolutionInn", "meta_keywords": "m,solve,question,show,detailed,response,thank,risk-free,return,2.8%,market,portfolio", "question_title_h1": "I'm not sure how to solve this question, can you please show me a detailed response? Thank you! Suppose the risk-free return is 2.8% and", "question_title": "I'm not sure how to solve this question, can you please show", "question_title_for_js_snippet": "I'm not sure how to solve this question, can you please show me a detailed response Thank you Suppose the risk free return is 2 8 and the market portfolio has an expected return of 11 6 and a volatility of 13 6 Merck Co (Ticker MRK) stock has a 21 1 volatility and a correlation with the market of 0 053 a What is Merck's beta with respect to the market b Under the CAPM assumptions, what is its expected return a What is Merck's beta with respect to the market Merck's beta with respect to the market is D (Round to three decimal places )", "question_description": "\"image

I'm not sure how to solve this question, can you please show me a detailed response?<\/p>

Thank you!<\/p>

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\"image<\/div><\/div><\/div> Suppose the risk-free return is 2.8% and the market portfolio has an expected return of 11.6% and a volatility of 13.6%. Merck & Co. (Ticker: MRK) stock has a 21.1% volatility and a correlation with the market of 0.053. a. What is Merck's beta with respect to the market? b. Under the CAPM assumptions, what is its expected return? a. What is Merck's beta with respect to the market? Merck's beta with respect to the market is D. (Round to three decimal places.)", "transcribed_text": "", "related_book": { "title": "Smith and Roberson Business Law", "isbn": "1285141903, 1285141903, 9781285141909, 978-0538473637", "edition": "15th Edition", "authors": "Richard A. Mann, Barry S. Roberts", "cover_image": "https:\/\/dsd5zvtm8ll6.cloudfront.net\/si.question.images\/book_images\/110.jpg", "uri": "\/textbooks\/smith-and-roberson-business-law-15th-edition-110", "see_more_uri": "" }, "free_related_book": { "isbn": "113867611X", "uri": "\/textbooks\/seamanship-techniques-shipboard-and-marine-operations-1st-edition-978-1138676114-356728", "name": "Seamanship Techniques Shipboard And Marine Operations", "edition": "1st Edition" }, "question_posted": "2024-06-06 16:06:30", "see_more_questions_link": "\/study-help\/questions\/business-management-leadership-2023-June-05", "step_by_step_answer": "The Answer is in the image, click to view ...", "students_also_viewed": [ { "url": "\/vela-corporation-which-has-begun-investing-in-trading-securities-engaged", "description": "Vela Corporation, which has begun investing in trading securities, engaged in the following transactions: Jan. 6 Purchased 7,000 shares of IBM stock, $30 per share. 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