Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

please answer! Question 30 (10 points) The stock of United Industries has a beta a 1.38 and an expected return of 12.0. The risk-free rate

please answer!
image text in transcribed
image text in transcribed
image text in transcribed
Question 30 (10 points) The stock of United Industries has a beta a 1.38 and an expected return of 12.0. The risk-free rate of return is 4 percent. What is the expected return on the market? 8 9.8 8.22 12.78 9.1 Question 29 (10 points) Metroplex Corporation just paid a $2.40 per share dividend next year. The company pledges to increase its dividend by 3.00 percent per year indefinitely. If you require an 8.60 percent return on your investment, how much will you pay for the company's stock today? $44.14 $41.07 42.85 $39.43 $39.88 Allegro Corporation has a beta of 1.36. The risk-free rate of return is 3 percent and the market risk premium is 8 percent. What is the expected rate of return on the stock of Allegro Corporation? 13.88 11.76 34.88 9.80 21.80

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Foundations Of Real Estate Financial Modelling

Authors: Roger Staiger

2nd Edition

1138046183, 978-1138046184

More Books

Students also viewed these Finance questions

Question

Examine various types of executive compensation plans.

Answered: 1 week ago

Question

1. What is the meaning and definition of banks ?

Answered: 1 week ago

Question

2. What is the meaning and definition of Banking?

Answered: 1 week ago

Question

3.What are the Importance / Role of Bank in Business?

Answered: 1 week ago