This topic contains a solution. Click here to go to the answer

Author Question: The risk free rate is 3%. The expected rate of return on the market is 10%. Betas and the expected ... (Read 84 times)

Darron12

  • Full Member
  • ***
  • Posts: 158

Question 1

The most uncertain value used in the Capital Asset Pricing Model is
◦ beta.
◦ the risk-free rate.
◦ expected return on the market.
◦ all are equally uncertain.

Question 2

The risk free rate is 3%.  The expected rate of return on the market is 10%.  Betas and the expected rates of return for four stocks are as follows.: BWI 0.9 , 10%; ORH 1.0, 10%; ORL 1.4 , 12.6%, and DEL 1.5, 18%.  Based on a comparison of each stock's expected return versus its required return, which of these stocks should not be purchased?
◦ BWI
◦ ORH
◦ ORL
◦ DEL


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by Darron12 on Mar 29, 2022

Mynameisrandom

  • Full Member
  • ***
  • Posts: 178
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




Darron12

  • Member
  • Posts: 158
Reply 2 on: Mar 29, 2022
:D TYSM


coreycathey

  • Member
  • Posts: 333
Reply 3 on: Yesterday
Gracias!

 

Did you know?

The familiar sounds of your heart are made by the heart's valves as they open and close.

Did you know?

Pubic lice (crabs) are usually spread through sexual contact. You cannot catch them by using a public toilet.

Did you know?

More than 30% of American adults, and about 12% of children utilize health care approaches that were developed outside of conventional medicine.

Did you know?

About one in five American adults and teenagers have had a genital herpes infection—and most of them don't know it. People with genital herpes have at least twice the risk of becoming infected with HIV if exposed to it than those people who do not have genital herpes.

Did you know?

Opium has influenced much of the world's most popular literature. The following authors were all opium users, of varying degrees: Lewis Carroll, Charles, Dickens, Arthur Conan Doyle, and Oscar Wilde.

For a complete list of videos, visit our video library