Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Widget Manufacturing, Inc. has an average return of 13.2%, a beta of 1.5, and a standard deviation of 53%. You know the risk-free rate is

Widget Manufacturing, Inc. has an average return of 13.2%, a beta of 1.5, and a standard deviation of 53%. You know the risk-free rate is 1.4% and the market return is 9%. What is the Treynor measure of Widget Manufacturing, Inc.? Enter your answer in decimal form without a percent symbol (for example, if you get a Treynor measure of 0.2, type 0.2)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

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

Step: 2

blur-text-image_2

Step: 3

blur-text-image_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

The Essentials Of Machine Learning In Finance And Accounting

Authors: Mohammad Zoynul Abedin, M. Kabir Hassan, Petr Hajek, Mohammed Mohi Uddin

1st Edition

0367480816, 978-0367480813

More Books

Students also viewed these Finance questions

Question

ASCII stand for?

Answered: 1 week ago