The next table provides the correlations among Egyptian Communication Company,

the Egyptian stock market index, and the World market index, together with the

standard deviations $(SD)$ of returns and the expected returns $(R).$ The risk$-$free rate is

$8\%.$

The domestic country beta of the Egyptian Communication Company is about

The world beta of the Egyptian Communication GDR is abou

$3.$Using the CAPM paradigm, the equity cost of capital of the Egyptian Communication

Company in the domestic market is

$4.$Using the CAPM paradigm, the equity cost of capital of the Egyptian Communication

Company in the world market is

In the Egyptian market, CIB stock closed at $750$ EGP per share on July $10,2020.$ CIB

trades as GDR in London market. One underlying CIB share equals one GDR$.$ On July

$10,$ the spot exchange rate was $$\frac{0\mathrm{.}06}{E}GP1\mathrm{.}00.$ At this exchange rate, the no$-$arbitrage

U$.$S$.$ dollar price of one GDR will be $

In the previous problem, If CIB GDRs were trading at $$50$ when the underlying shares were

trading in Egypt at $750$ EGP, and the spot exchange rate was $$\frac{0\mathrm{.}06}{?}$ EGP, the investor

would

the GDRs$,$ for a profit of $

per GDR$.$