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QUESTION 2 Company Ahas a beta of 0 70, while Company Bs beta is 1.45. The required return on the stock market as 11.00%, and

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QUESTION 2 Company Ahas a beta of 0 70, while Company Bs beta is 1.45. The required return on the stock market as 11.00%, and the nsk-free rate is 2.25%, what is the difference between A's and B's required rates of return? (Hint: Fist find the market risk premium, round your intermediate calculations. then find the required returns on the stocks.) Do not a 5.06% b 4.25% @c 5.01% d 4.30% O e 4.71% QUESTION 3 How much money wil you have in a savings account that earns 16% annually n 10 years if you invest $5000 per year? $106,607 35 $106,611.76 $22.057 18 $24,166 14 None of the above

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