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-is a series of equal payments made or 4. In the context of finance, a(n) received in equal intervals for a specified number of periods.
-is a series of equal payments made or 4. In the context of finance, a(n) received in equal intervals for a specified number of periods. _ a. Annuity b. Mortgage c. Lump sum d. Perpetuity 5. Van Hohen purchased 500 shares of Homunculus Inc. stock at $15.10 per share on 1/1/2018. He sold the shares on 12/31/2018 for $16.50. Homunculus stock has a beta of 2.4. The current risk-free rate of return is 2.4%, and the market risk premium is 4.8%. Based on the CAPM, what is the required return on Homunculus Inc. stock? a. 15.28% b. 13.92%. C. 11.23%. d. 9.77%. 6. Which of the following are issues addressed by the study of finance? I. Capital budgeting decisions II. Capital structure decisions III. Working capital management decisions 7. Alphonse wants to have $10,000 in his savings account after four years. The account pays a fixed interest rte of 6%. If the account is compounded monthly, how many periods should be drawn on the timeline of cash flows? a. 48 b. 24 c. 12 d. 4
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