Stadent 1. You bought a painting 10 years ago as an investment. You $484,050, what was your annual return on investment? 10 years ago as an investment. You originally paid $85,000 for it. IF you sold it for B-47% (114)(S6 4106 9% 12.8% 2. You are thinking of adding one of two investments to an already well a Security A Expected retum-12% Standard deviation of returns-20.9% Standard deviation of returns-10.196 Security B Expected return-12% Beta-2 Beta-0.8 If you are a risk-averse investor Security B is the better choice A is the better choice Either security would be acceptable D. cannot be determined with information given 3. Spartan Sodas, Inc. is selling for $50.00 per share today. In one year, Spartan will be selling for $48.00 per the dividend for the year will be $3.00. what is the cash return on Spartan stock? 10% B.2% .656 D.0% 4. If you hold a portfolio made up of the following stocks, what is the beta of the portfolio? Investment Value Beta 1.5 1.2 Stock A Stock B Stock C $5,000 $3,000 0.8 B. 1.14 C. 1.32 Cannot be determined from information given D. You are thinking of buying a miniature golf course. It is expected to generate cash flows of $40,000 per year 5. in years one through four and ss0,000 per year in years five through eight. If the appropriate discount rate is 10%, what is the present value of these cash flows? A. $285,288 B. $235,048 C. $167,943 D. $828,230 If you want to have $1,200 in 27 months, how money must you put in a savings account today? Assume that the savings account pays 14% and it is compounded monthly (round to the nearest S10). A. $910 6. B. $860 C. $890 D. $880