Homework Answers
| R = Rf+ B(Rm-Rf) | ||||
| Where, | ||||
| Rf = Risk Free Return | ||||
| B= Beta | ||||
| Rm-Rf= Risk Premium | ||||
| 0.1045=0.036+0.93*(Rm-0.036) | ||||
| 0.0685 =0.93Rm -0.03348 | ||||
| Rm =0.10966 | ||||
| Rm = 10.97% | ||||
| Expected market return =10.97% | ||||
| Kindly give a positive rating if you are satisfied with this solution and please ask if you have any queries. | ||||
Add Answer to:
A stock has an expected return of 10.45 percent, its beta is 93. and the risk-free...
A stock has an expected return of 12 percent, its beta is 1.25, and the risk-free...
A stock has an expected return of 12 percent, its beta is 1.25, and the risk-free rate is 4 percent. What must the expected return on the market be? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., enter 32.16% as 32.16, not 0.3216) ______%
A stock has an expected return of 10.6 percent, its beta is 0.99, and the risk-free...
A stock has an expected return of 10.6 percent, its beta is 0.99, and the risk-free rate is 6.2 percent. Required: What must the expected return on the market be? (Do not round intermediate calculations. Enter your answer as a percentage rounded to 2 decimal places (e.g., 32.16).) Expected return %
A stock has a beta of 1.14, the expected return on the market is 10.9 percent,...
A stock has a beta of 1.14, the expected return on the market is 10.9 percent, and the risk-free rate is 3.6 percent. What must the expected return on this stock be? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Expected return
A stock has a beta of 1.14, the expected return on the market is 10.9 percent,...
A stock has a beta of 1.14, the expected return on the market is 10.9 percent, and the risk-free rate is 3.6 percent. What must the expected return on this stock be? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Expected return
A stock has an expected return of 15 percent, its beta is 1.70, and the expected...
A stock has an expected return of 15 percent, its beta is 1.70, and the expected return on the market is 10.8 percent. What must the risk-free rate be? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Risk-free rate %
A stock has an expected return of 13.5 percent, its beta is 1.40, and the expected...
A stock has an expected return of 13.5 percent, its beta is 1.40, and the expected return on the market is 11.5 percent. What must the risk-free rate be? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)
A stock has a beta of 1.37 and an expected return of 13.5 percent. A risk-free...
A stock has a beta of 1.37 and an expected return of 13.5 percent. A risk-free asset currently earns 4.65 percent. a. What is the expected return on a portfolio that is equally invested in the two assets? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b. If a portfolio of the two assets has a beta of .97, what are the portfolio weights? (Do not round intermediate calculations...
A stock has a beta of 1.21 and an expected return of 11.9 percent. A risk-free...
A stock has a beta of 1.21 and an expected return of 11.9 percent. A risk-free asset currently earns 3.85 percent. a. What is the expected return on a portfolio that is equally invested in the two assets? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Expected return % b. If a portfolio of the two assets has a beta of .81, what are the portfolio weights? (Do...
A stock has a beta of 1.15 and an expected return of 11.4 percent. A risk-free...
A stock has a beta of 1.15 and an expected return of 11.4 percent. A risk-free asset currently earns 3.5 percent. a. What is the expected return on a portfolio that is equally invested in the two assets? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b.If a portfolio of the two assets has a beta of 7 what are the portfolio weights? (Do not round intermediate calculations and...
A stock has an expected return of 11.3 percent, its beta is 1.60, and the risk-free...
A stock has an expected return of 11.3 percent, its beta is 1.60, and the risk-free rate is 5.1 percent. What must the expected return on the market be? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) Expected return on market
A stock has a beta of 1.14, the expected return on the market is 10.9 percent, and the risk-free rate is 3.6 percent. What must the expected return on this stock be? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Expected return
A stock has a beta of 1.14, the expected return on the market is 10.9 percent, and the risk-free rate is 3.6 percent. What must the expected return on this stock be? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Expected return
A stock has a beta of 1.37 and an expected return of 13.5 percent. A risk-free asset currently earns 4.65 percent. a. What is the expected return on a portfolio that is equally invested in the two assets? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b. If a portfolio of the two assets has a beta of .97, what are the portfolio weights? (Do not round intermediate calculations...
A stock has a beta of 1.15 and an expected return of 11.4 percent. A risk-free asset currently earns 3.5 percent. a. What is the expected return on a portfolio that is equally invested in the two assets? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b.If a portfolio of the two assets has a beta of 7 what are the portfolio weights? (Do not round intermediate calculations and...
A stock has an expected return of 11.3 percent, its beta is 1.60, and the risk-free rate is 5.1 percent. What must the expected return on the market be? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) Expected return on market
Most questions answered within 3 hours.
-
Casey is on trial under criminal allegations that she engaged in
fraudulent behavior at the company...
asked 10 minutes ago -
1. A boy stands on one end of a boat, and then walks to the
other...
asked 5 minutes ago -
Surplus Styles is a manufacturer of hair care products,
including shampoos, conditioners, and hair gels. The...
asked 8 minutes ago -
Using an income-expenditure diagram, use the infinite line and
double-drop line tools to show the economy...
asked 16 minutes ago -
Which expression computes a pseudorandom integer between -10 and
10 using rand()
from cstdlib?
A. (rand(...
asked 23 minutes ago -
Roybus, Inc., a manufacturer of flash memory, just reported that
its main production facility in Taiwan...
asked 31 minutes ago -
Two capacitors connected in parallel produce an equivalent
capacitance of 45.0 μF but when connected in...
asked 40 minutes ago -
The differences between the two sets of dependent data are -1,
2,-,2, 2. Round to the...
asked 57 minutes ago -
A χ2-curve, looking at the relationship between age and hours
spent working at an office per...
asked 1 hour ago -
The pH of a sample of water from a river is 5.0. A
sample of effluent from...
asked 2 hours ago -
At the beginning of the period, the Fabricating Department
budgeted direct labor of $136,500 and equipment...
asked 2 hours ago -
Please answer all
____ 28. Rent control is usually
justified on the grounds that it protects...
asked 2 hours ago