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

Author Question: A stock has a beta of 1.8. The expected market return is 10.5%. The equilibrium return for the stock ... (Read 183 times)

student77

  • Hero Member
  • *****
  • Posts: 567
on: Apr 25, 2021

Question 1

A mutual fund manager expects her portfolio to earn a rate of return of 9% this year. Her portfolio's beta is 0.8, kf = 4% and E= 11%. Should you invest in her mutual fund?
◦ Yes
◦ No
◦ Not enough information

Question 2

A stock has a beta of 1.8. The expected market return is 10.5%. The equilibrium return for the stock is 17.30%. What is the risk-free rate according to the CAPM?
◦ 1%
◦ 2%
◦ 3%
◦ 4%
◦ 5%
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 student77 on Apr 25, 2021

chjcharjto14

  • Sr. Member
  • ****
  • Posts: 342
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 25% of students answer this correctly


student77

  • Member
  • Posts: 567
Reply 2 on: Apr 25, 2021
Great answer, keep it coming :)

meow1234

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

« previous next »
 

Did you know?

The liver is the only organ that has the ability to regenerate itself after certain types of damage. As much as 25% of the liver can be removed, and it will still regenerate back to its original shape and size. However, the liver cannot regenerate after severe damage caused by alcohol.

Did you know?

Sperm cells are so tiny that 400 to 500 million (400,000,000–500,000,000) of them fit onto 1 tsp.

Did you know?

More than 2,500 barbiturates have been synthesized. At the height of their popularity, about 50 were marketed for human use.

Did you know?

In 1844, Charles Goodyear obtained the first patent for a rubber condom.

Did you know?

About 3.2 billion people, nearly half the world population, are at risk for malaria. In 2015, there are about 214 million malaria cases and an estimated 438,000 malaria deaths.

Hydrostatic Equilibrium Hydrostatic Equilibrium
All of the homes in this new neighborhood of Brentwood, California, are for sale, evidence of the co All of the homes in this new neighborhood of Brentwood, California, are for sale, evidence of the co
Fuel should be heard returning to the fuel tank at the fuel return line if the fuel pump and ... Fuel should be heard returning to the fuel tank at the fuel return line if the fuel pump and ...
Kinesthesis and Equilibrium Kinesthesis and Equilibrium
Daniel's Enterprises has a beta of 1.98 and a growth rate of 12 percent. The stock is ... Daniel's Enterprises has a beta of 1.98 and a growth rate of 12 percent. The stock is ...
The expected value for a binomial probability distribution is _____. The expected value for a binomial probability distribution is _____.
Video: Genetic distance between human groups

For a complete list of videos, visit our video library