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Author Question: Union Pacific Corporation (ticker: UNP on NYSE) owns transportation companies. Its principal ... (Read 42 times)

mynx

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Union Pacific Corporation (ticker: UNP on NYSE) owns transportation companies. Its principal operating company, Union Pacific Railroad Company, links 23 states across the country. After studying UNP's financials, you predict the future return on investment to be 8%. The risk free rate is 4.5%, the expected market return is 10% and UNP's beta is 0.6. Which of the following statements is TRUE about UNP?
◦ Equilibrium return < anticipated return, stock is undervalued
◦ Equilibrium return > anticipated return, stock is overvalued
◦ Equilibrium return > anticipated return, stock is undervalued
◦ Equilibrium return < anticipated return, stock is overvalued
◦ Equilibrium return = anticipated return, stock properly valued


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Marked as best answer by mynx on Apr 25, 2021

Ashley I

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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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mynx

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Reply 2 on: Apr 25, 2021
Excellent


epscape

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Reply 3 on: Yesterday
Great answer, keep it coming :)

 

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