Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

You hear on the news that the S&P 500 was down 1.2% today relative to the risk-free rate (the market's excess return was - 1.2%

image text in transcribed
You hear on the news that the S\&P 500 was down 1.2% today relative to the risk-free rate (the market's excess return was - 1.2% ). You are thinking about your portfolio and your investments in Zynga and Proctor and Gamble. a. If Zynga's beta is 1.1 , what is your best guess as to Zynga's excess return today? b. If Proctor and Gamble's beta is 0.5 , what is your best guess as to P8G's excess return today? a. If Zynga's beta is 1.1 , what is your best guess as to Zynga's excess return today? Zynga's excess return today is \%. (Round to one docimal place.)

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

Step: 3

blur-text-image

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

Investment Science

Authors: David G. Luenberger

2nd Edition

0199740089, 978-0199740086

More Books

Students also viewed these Finance questions

Question

A 300N F 30% d 2 m Answered: 1 week ago

Answered: 1 week ago