Question
The beta of Ford stock is 1.8, whereas the T-bill yield is 1.5 percent. If the expected return on the S&P 500 index is 6
The beta of Ford stock is 1.8, whereas the T-bill yield is 1.5 percent. If the expected return on the S&P 500 index is 6 percent, then what is the expected return on Ford?
A) 8.1%
B) 9.6%
C) 12.3%
D) None of the above
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Risk Sensitive Investment Management
Authors: Mark H A Davis, Sébastien Lleo
1st Edition
9814578037, 978-9814578035
