Answer Question 8 (1 point) Milo Corporation has a Beta of 0.3. The U.S. government T-Bill...
Question 6 (1 point) A stocks rate of return in year 1 is 0.0 in year 2 is 0.4, and in year 3 is 0.1. What is the stock annual arithmetric average return? Your Answer: Answer Question 7 (1 point) A stocks rate of return in year 1 is 0.1, in year 2 is -0.4, and in year 3 is 0.3. What is the stock annual geometric return? Your Answer: Answer Question 8 (1 point) Milo Corporation has a Beta...
Ben Inc has a Beta of 1.4. The U.S. government T-Bill is expected to yield 0.04, and the S&P 500 is expected to yield 0.11 in the near future. What is Ben Inc required rate of return?
Question 3 Unsaved Rank the following from highest to lowest by historical rate of return. Question 3 options: Large Stocks (S&P 500) Long-Term Bonds Small Stocks (Russell 2000) Gold Question 4 Unsaved Rank the following from Highest to Lowest by Risk as measured by the Historical Standard Deviation. Tech Stocks (NASDAQ) Treasury Bills Long Term Bonds Broad Market Index (Wilshire 5000) Question 5 Unsaved Which of the following asset classes have significantly out performed inflation as measure by the Consumer...
Question 6 (1 point) Menger Corporation has a 0.3 probability of a return of -0.07, a 0.3 probability of a rate of return of 0.06, and the remaining probability of a 0.80 rate of return. What is the expected rate of return of Menger Corporation? Your Answer:
Question 11 (1 point) The rate of return on U.S. T-bills is 3.25% and the expected return on the market is 9.50%. J&X, Inc. has a beta (b) of 1.48 Which of the following is most correct? a) J&X has more systematic, or market risk that the average firm. b) J&X has less total risk than the average firm. Oc) J&X has more total risk than the average firm. d) J&X has less non-diversifiable risk than the average firm.
Provide assistance calculating the answer to this question. Darby Corporation has is an electric utility has a beta of 0.85. If the government reports strong economic growth of 3%, and, in response, the S&P 500 rises by 7%, what would be the expected return on Darby's stock? 2.55% 3.0% 5.95% 7.0%
Question 13 1 pts The return on a Government of Canada T-Bill is 7.12%. Given a market risk premium of 1.94%. What is the return on the market? (answer as a percentage)
Question 10 (1 point) The rate of return on U.S. T-bills is 3.25% and the expected return on the market i 9.50%. J&X, Inc. has a beta (b) of 1.48. What is the required return (r) for J&X? a) 8.18% Ob) 12.50% Oc) 10.50% Od) 4.68% e) 13.18% Previous Page Next Page Page 10 of 26
Question 30 Fund A has an expected return of 9.5%, a standard deviation of 15.6% and a beta of 0.95. Fund B has an expected return of 11.5%, a standard deviation of 17.8% and a beta of 1.10. The S&P 500 index has an expected return of 10.5%, a standard deviation of 16.2% and a beta of 1.00. The T-bill has an expected return of 4.5% What would happen if Fund A’s beta increased to more than the beta of...
Question 6 (1 point) A stock has a beta of 2.4, the market expected return is 8% and the riskfree rate is 2%. What is the expected rate of return according to CAPM? Express your answer as a percentage, for example 3.18% should be entered as 3.18 without the percentage sign. Your Answer: Answer Question 7 (1 point) Suppose the covariance between the returns of the stock GHI and the returns to the market is 0.00064 and the standard deviation...