T Mobile has an expected return of 16.9%, a beta of 1.4 and a standard deviation of 21.6%. What is T Mobile's Treynor Ratio if the risk-free rate is 2.1%?
Treynor ratio = (Portfolio return - Risk free rate) / Beta
= (16.9% - 2.1%)/ 1.4
= 0.1057
T Mobile has an expected return of 16.9%, a beta of 1.4 and a standard deviation...
Project A has a beta of 1.4 and an expected rate of rate of return of 14.2%. Project B has a beta of 0.7 and an expected rate of return of 8.7%. What is the risk-free rate?
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tock Y has a beta of 1.4 and an expected return of 17 percent.
Stock Z has a beta of .7 and an expected return of 10.1 percent. If
the risk-free rate is 6 percent and the market risk premium is 7.2
percent, the reward-to-risk and ratios for Stocks Y and Z are
percent, respectively. Since the SML reward-to-risk is percent,
Stock Y is and Stock Z is (Do not round intermediate calculations
and enter your answers as a percent...
Stock Y has a beta of 1.4 and an expected return of 13 percent. Stock Z has a beta of 0.85 and an expected return of 10.4 percent. Required: What would the risk-free rate have to be for the two stocks to be correctly priced relative to each other? (Do not round intermediate calculations. Enter your answer as a percentage rounded to 2 decimal places (e.g., 32.16).) Risk-free rate % Suggestions: We need to set the reward-to-risk ratios of the...
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