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Question 17 1 pts Suppose you are offered a government-issued security that promises to pay $100 p.a. forever. If the required return is 11% p.a.,

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Question 17 1 pts Suppose you are offered a government-issued security that promises to pay $100 p.a. forever. If the required return is 11% p.a., what is the most that you would be prepared to pay for this security? O $90 O $1,100 O $909 O Infinity 4 Dravi iz instructions Question 18 1 pts Suppose that the volatility of Home Depot share prices is 25% and that of General Motors shares is 25%. If I invest $3,000 in Home Depot and a further $4,000 in General Motors, what will be the overall volatility of my portfolio? O 21.00% O 25.22% O 25.00% more information needed. Previous Next Question 19 1p A bank is negotiating a loan. The loan can either be paid off as a lump sum of $80,000 at the end of four years, or as equal annual payments at the end of each of the next four years. If the interest rate on the loan is 6%, what annual payments should be made so that both forms of payment are equivalent? O $14,630 O $18.287 O $25,602 O $29.259 Previous Next Question 20 2 The historical stock prices and dividend payments for a MadeUPstock are provided below. Date Price ($) Dividend ($) Jan 2017 83.62 0.00 Jan 2018 89.91 0.40 Jan 2019 84.55 0.40 Jan 2020 92.50 0.40 Using the information provided above, what is the arithmetic mean return (inclusive of dividends)? O 2.7% O 11.0% O 4.1% 0 3.7%

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