Question
Problem 12-12 Stock Y has a beta of 1.25 and an expected return of 15.05 percent. Stock Z has a beta of .60 and an
Problem 12-12
| Stock Y has a beta of 1.25 and an expected return of 15.05 percent. Stock Z has a beta of .60 and an expected return of 8 percent. If the risk-free rate is 4.0 percent and the market risk premium is 8.2 percent, what are the reward-to-risk ratios of Y and Z? (Do not round intermediate calculations. Round your answers to 4 decimal places.) |
| Y | |
| Z | |
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Fundamentals Of Futures And Options Markets
Authors: John C. Hull
7th Edition
0136103227, 9780136103226
