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Question 9 2 pts AQSM Corporation has a Beta of 1.7. The required return of a market portfolio is 8%. The risk free rate is
Question 9 2 pts AQSM Corporation has a Beta of 1.7. The required return of a market portfolio is 8%. The risk free rate is 2%. What is the required rate of return? (Please answer with decimal. Please do NOT use %.) Question 10 2 pts AQSM Corp. is expected to pay the following dividends over the next four years: $10. $8.95, and $4. In the fourth year, the estimated payout ratio is 20% and the benchmark PE ratio is 10. If the required return of AQSM is 6%, what is the current share price of AQSM stocks? (Hint: estimated payout ratio - dividend/EPS) Question 11 2 pts Which of the following statement is correct? For bond with coupon payments. yield-to-maturity (TM) is the interest rate that equates the present value of the face value to the price today. Zero-coupon bond pays no coupon The higher the YTM, the higher the bond price would be O None of the available options One would never lose money by investing in zero-coupon bonds, because zero-coupons are pure discount bonds
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