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You are holding a stock that has a beta of 1.26 and is currently in equilibrium. The required retum on the stock is 15.87%, and

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You are holding a stock that has a beta of 1.26 and is currently in equilibrium. The required retum on the stock is 15.87%, and the return on a risk-free asset is 7.0%. What would be the return on the stock if the stock's beta increased to 1.56 while the risk-free rate and expected market return remained unchanged? 16.76% 28.90% 15.87% 24.31% 17.98% The risk-free rate of return is 5.9% and the market return is 17.7%. What is the expected return for the following portfolio? Stock Betas Investment AAA 3.70$800,000 BBB 2.80$1,100,000 CCC 1.40$1,500,000 DDD 1.20$2,000,000 28.93% 23.03% 40.45% 34.55% 19.52% You plan to borrow $391,000 now and repay it in 18 equal annual installments (payments will be made at the beginning of each year). If the annual interest rate is 9%, how much will your annual payments be? $40,969.73 $44,657.01 $82,889.55 $67,969.43 $54,481.55 You are offered an investment with a quoted annual interest rate of 6% with quarterly compounding of interest. What is your effective annual interest rate? 6.08%6.14%5.84%6.34%6.00%

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