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Old MathJax webview Old MathJax webview 6. The required yield for the SENDICA company is 12.5%, its beta with respect to the market is 10%

Old MathJax webview
Old MathJax webview

6. The required yield for the SENDICA company is 12.5%, its beta with respect to the market is 10% and the market rate of return is 11%, given this information and based on the method of the Securities Market Line. Is it convenient to invest in SENDICA? justify using security market line (SML)

2._Continuing with the case of SENDICA, we suppose that in year t + 2 the market rate of return doubles and is it now convenient to invest in SENDICA?

the objetive is calculate the risk free rate and justify if it's convenient

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