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Please select the BEST answer choice and mark that answer on your Scantron. NO CREDIT WILL BE GIVEN FOR WORK ON THESE PAGES Google Finance

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Please select the BEST answer choice and mark that answer on your Scantron. NO CREDIT WILL BE GIVEN FOR WORK ON THESE PAGES Google Finance reports a beta of 1.35 for Ulta. If the risk-free rate is 2% and the expected market return is 18%, what is Ulta's expected stock return according toCAPM? 1. 11.54% 12.56% 14.48% 23.60% 25.84% a. b. . d. e. 01.35) 1.35 m) You make a one-time $1350 deposit into an account which pays 6% compounded monthly. If you don't touch the account for 6 years, what will be the final balance by the end of the term? 2. a. $1806.32 b. $1900.46 c. $1933.26 d. $2484.86 e. $3121.91 Big Al's Gas Company owns several gas stations, and they are looking to add another. One station they are evaluating is located at a site that has been leased. The lease currently has 60 years before expiration (so the last cash flow will occur at t 60). The gas station is expected to generate a net cash flow of $67,000 for 60 years starting at the end of this year. If Big Al's uses a discount rate of 13 percent to evaluate such businesses, and they need to invest $1.5 million at t-0 to get started, then what is the NPV of this gas station? a. -$600,801 b. -$800,327 c. -$1,046,516 d. $1,494,846 e. $1,592,046

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