Question
WK4 Suppose Autodesk stock has a beta of2.10 whereas Costco stock has a beta of0.72 If the risk-free interest rate is3 % and the expected
WK4
Suppose Autodesk stock has a beta of2.10 whereas Costco stock has a beta of0.72
If the risk-free interest rate is3 % and the expected return of the market portfolio is
13.0 %what is the expected return of a portfolio that consists of70 % Autodesk stock and30 % Costco stock, according to the CAPM? The expected return is
_______________%.
(Round to two decimal places.)
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Financial Accounting Fundamentals
Authors: John J. Wild
5th edition
1308500102, 1308500106, 78025753, 978-0078025754
