This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: The equilibrium expected return on an asset is 14%, the risk-free rate is 4% and the return on the ... (Read 77 times)

V@ndy87

  • Hero Member
  • *****
  • Posts: 571
on: Apr 25, 2021

Question 1

The company that prints unemployment insurance checks is named Countercyclical Printing, Inc. Countercyclical Printing's beta is -0.75, the risk free rate is 8%, and the risk premium on the market is 7%. What is the equilibrium expected rate of return on Countercyclical Printing's stock?
◦ -8.75%
◦ -3.25%
◦ 2.75%
◦ 4.50%
◦ 5.25%

Question 2

The equilibrium expected return on an asset is 14%, the risk-free rate is 4% and the return on the market portfolio is 12%. What is the beta of the asset?
◦ 1.10
◦ 1.15
◦ 1.20
◦ 1.25
◦ 1.30
Corporate Finance Online ¦ Eakins, McNally ¦ 2nd Edition
Buy Test-Bank


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by V@ndy87 on Apr 25, 2021

kristenb95

  • Sr. Member
  • ****
  • Posts: 318
Reply #1 on: Apr 25, 2021
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 29% of students answer this correctly


V@ndy87

  • Member
  • Posts: 571
Reply 2 on: Apr 25, 2021
YES! Correct, THANKS for helping me on my review

smrtceo

  • Member
  • Posts: 344
Reply 3 on: Yesterday
Great answer, keep it coming :)

« previous next »
 

Did you know?

Stevens-Johnson syndrome and Toxic Epidermal Necrolysis syndrome are life-threatening reactions that can result in death. Complications include permanent blindness, dry-eye syndrome, lung damage, photophobia, asthma, chronic obstructive pulmonary disease, permanent loss of nail beds, scarring of mucous membranes, arthritis, and chronic fatigue syndrome. Many patients' pores scar shut, causing them to retain heat.

Did you know?

Russia has the highest death rate from cardiovascular disease followed by the Ukraine, Romania, Hungary, and Poland.

Did you know?

In inpatient settings, adverse drug events account for an estimated one in three of all hospital adverse events. They affect approximately 2 million hospital stays every year, and prolong hospital stays by between one and five days.

Did you know?

Asthma cases in Americans are about 75% higher today than they were in 1980.

Did you know?

Hippocrates noted that blood separates into four differently colored liquids when removed from the body and examined: a pure red liquid mixed with white liquid material with a yellow-colored froth at the top and a black substance that settles underneath; he named these the four humors (for blood, phlegm, yellow bile, and black bile).

Effects of growth rate on development. Effects of growth rate on development.
Summary of Hale’s Lactation Risk Categories Summary of Hale’s Lactation Risk Categories
Static Stability & Environmental Lapse Rate Static Stability & Environmental Lapse Rate
Free Energy Rules: The Second Law in Open Systems Free Energy Rules: The Second Law in Open Systems
The dissociation equilibrium constants for the protonated form of alanine (a diprotic amino ... The dissociation equilibrium constants for the protonated form of alanine (a diprotic amino ...
Irene Manufacturing uses a predetermined overhead allocation rate based on a percentage of ... Irene Manufacturing uses a predetermined overhead allocation rate based on a percentage of ...
Video: Transcription - Introns and exons

For a complete list of videos, visit our video library