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Author Question: What is the expected market return if the expected return on Asset X is 20 percent, its beta is 1.5, ... (Read 119 times)

newbem

  • Hero Member
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  • Posts: 579
on: Jul 10, 2018
What is the expected market return if the expected return on Asset X is 20 percent, its beta is 1.5, and the risk free rate is 5 percent?
 
  A) 5.0
  B) 7.5
  C) 15.0
  D) 22.5

Question 2

When computing an interest or growth rate, the rate will increase with an increase in future value, holding present value and the number of periods constant.
 
  Indicate whether the statement is true or false


parshano

  • Sr. Member
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  • Posts: 333
Reply #1 on: Jul 10, 2018
Answer to Question 1

C

Answer to Question 2

TRUE


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