Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on Jul 25, 2024

The stock ABC has a beta of 1.8 and its standard deviation is 50%. Its correlation coefficient with the market return is 0.9. What is

The stock ABC has a beta of 1.8 and its standard deviation is 50%. Its correlation coefficient with the market return is 0.9. What is the standard deviation of the market return?

	A.	18%
	B.	25%
	C.	36%
	D.	15%

Step by Step Solution

There are 3 Steps involved in it

Step: 1

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

Step: 3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

International Financial Management

Authors: Cheol Eun, Bruce Resnick

5thEdition

0073382345, 9780073382340

More Books

Students also viewed these Finance questions

Question

★★★★★

At the beginning of a year, a company predicts total direct materials costs of $900,000 and total overhead costs of $1,170,000. If the company uses direct materials costs as its activity base to...

Answered: 1 week ago

Question

★★★★★

The following sample data have been collected from independent samples from two populations. Do the populations have different medians? Test at a significance level of 0.05. Use the MannWhitney U...

Answered: 1 week ago

Question

★★★★★

55. In the preceding problem let Mk = E[X]. Derive a recursive equation for Mk and then solve. Hint: Start by writing Xk = Xk1 + Ak1,k , where Xi is the total number of successes attained up to the...

Answered: 1 week ago

Question

★★★★★

A firm is evaluating the acquisition of an asset that costs $64,000 and requires $4,000 in installation costs. If the firm depreciates the asset under MACRS, using a 5-year recovery period, determine...

Answered: 1 week ago

Question

★★★★★

A company has two producing department, mechanical (M) division and electronic (E) division, in addition to three service departments, facility management (FM) division, receiving and handling (RH)...

Answered: 1 week ago

Question

★★★★★

1. Which four key In reviewing the Case Study (Kohl, 2022, p.27), answer the following questions: What advice would you give each of these CEOs to make their organization more equitable and just? If...

Answered: 1 week ago

Question

★★★★★

3. Briefly explain the following step toward ethical behaviour: Carrying out one's decision a. Weakness of will b. Strength of will C. Locus of control d. Willingness to obey authority

Answered: 1 week ago

Question

★★★★★

Queens black is a popular input with an annual demand of 5 0 0 0 0 gallons, ordering cost of$ 5 0 per order, and holding cost of $ 5 per unit per year; the econmoic orer quantity is 1 , 0 0 0 . Hence...

Answered: 1 week ago

Question

★★★★★

Project management has been around ever since the time of the pyramids.However, today many organizations and industries are still struggling to understand and apply good project management to their...

Answered: 1 week ago

Question

★★★★★

describe what the Death with Dignity Act is, What are three of the most important rules concerning who is eligible for physician-assisted dying? What are the main reasons some people support Death...

Answered: 1 week ago

Question

★★★★★

THE FORUMIY mon applies to be a you Now. Laker Company reported the following January purchases and sales data for its only product. For specific identification, ending inventory consists of 232...

Answered: 1 week ago

Question

★★★★★

2. Would it be advisable for the firm to set up a procedure for screening out accident-prone individuals? How should it do so?

Answered: 1 week ago

Question

★★★★★

3. Write a short position paper on what we should do to get all our employees to behave more safely at work.

Answered: 1 week ago

Question

★★★★★

4. Based on what you know and on what other dot-coms are doing, write a short position paper on what we can do to reduce the potential problems of stress and burnout in our company.

Answered: 1 week ago

Previous Question Next Question