The risk-free rate of return is 2.8 percent and the market risk premium is 7.1 percent. What is the expected rate of return on a stock with a beta of 0.98? |
The expected rate of return = risk-free rate of return + market risk premium * beta
= 2.8 % + (7.1% *0.98)
= 9.758%
Hence the correct answer is 9.76%
The risk-free rate of return is 2.8 percent and the market risk premium is 7.1 percent....
The risk-free rate of return is 2.5 percent, and the market risk premium is 11 percent. What is the expected rate of return on a stock with a beta of 1.8?
The risk-free rate of return is 3.68 percent and the market risk premium is 7.84 percent. What is the expected rate of return on a stock with a beta of 1.32?
The risk-free rate of return is 2.5 percent, and the market risk premium is 11 percent. What is the expected rate of return on a stock with a beta of 1.8? Group of answer choices 23.7 22.3 14.7 19.1
The risk-free rate of return is 2 percent and the market risk premium is 6 percent. What is the expected rate of return on a stock with a beta of 2? Question 1 options: 24.0 12.0 16.0 14.0 10.0
The risk-free rate of return is 5 percent and the market risk premium is 9 percent. What is the expected rate of return on a stock with a beta of 1.16? O 15.44 O 10.80 10.44 O 16.24 O 15.80
The risk-free rate of return is 3 percent and the market risk premium is 10 percent. What is the expected rate of return on a stock with a beta of 1.2? Multiple Choice o 12.00% o 6.80% o 750% o 13.60% o 15.00%
help needed asap, with steps plz If the market premium is 7.01 percent, the risk-free rate is 3.93 percent, the inflation rate is 1.18 percent, and Middlefield Motors common stock has a beta of 0.73, then what is the expected return for Middlefield Motors stock? Answer as a rate in decimal format so that 12.34% would be entered as 1234 and 0.98% would be entered as .0098. Number
Assume the expected return on the market is 14 percent and the risk-free rate is 4 percent. What is the expected return for a stock with a beta equal to 1.20? (Round answers to 2 decimal places, e.g. 15.25.) Expected return ____________ What is the market risk premium? (Round answers to 2 decimal places, e.g. 15.25.) Market risk premium _______________
Assume the expected return on the market is 14 percent and the risk-free rate is 4 percent. What is the expected return for a stock with a beta equal to 1.50? (Round answers to 2 decimal places, e.g. 15.25.) Expected return What is the market risk premium? (Round answers to 2 decimal places, e.g. 15.25.) Market risk premium
The market risk premium is 6.0 percent, and the risk-free rate is 3.2 percent. If the expected return on a bond is 6.5 percent, what is its beta? (Round answer to 2 decimal places, e.g. 15.25.) Beta of the bond ____________