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Author Question: The risk free rate is 3%. The expected rate of return on the market is 10%. Betas and the expected ... (Read 54 times)

Darron12

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on: Mar 29, 2022

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
Fundamentals of Investing ¦ Zutter, Smart ¦ 14th Edition
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Marked as best answer by Darron12 on Mar 29, 2022

Mynameisrandom

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Reply #1 on: Mar 29, 2022
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.
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Darron12

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Reply 2 on: Mar 29, 2022
:D TYSM

nguyenhoanhat

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Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

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