Use the the Capital Asset Pricing Model to calculate the expected return for Tesla. The return...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Use the the Capital Asset Pricing Model to calculate the expected return for Tesla. The return on a 10 year Treasury is 5.9. The return on the Russell 5000 is 12.1. The beta for Tesla is 1.0. The revenue for Tesla is $75 million. Post your answers a % to 2 decimal place. For example 10.72 Use the the Capital Asset Pricing Model to calculate the expected return for Tesla. The return on a 10 year Treasury is 5.9. The return on the Russell 5000 is 12.1. The beta for Tesla is 1.0. The revenue for Tesla is $75 million. Post your answers a % to 2 decimal place. For example 10.72 Use the the Capital Asset Pricing Model to calculate the expected return for Tesla. The return on a 10 year Treasury is 5.9. The return on the Russell 5000 is 12.1. The beta for Tesla is 1.0. The revenue for Tesla is $75 million. Post your answers a % to 2 decimal place. For example 10.72
Expert Answer:
Answer rating: 100% (QA)
To calculate the expected return for Tesla using the Capital As... View the full answer
Related Book For
Corporate Finance A Focused Approach
ISBN: 978-1305637108
6th edition
Authors: Michael C. Ehrhardt, Eugene F. Brigham
Posted Date:
Students also viewed these accounting questions
-
The following additional information is available for the Dr. Ivan and Irene Incisor family from Chapters 1-5. Ivan's grandfather died and left a portfolio of municipal bonds. In 2012, they pay Ivan...
-
1. The famous capital asset pricing model or CAPM is a single factor model that characterizes the portion of an assets total return that results from systematic movements in the broader market. It is...
-
During the 2015-16 period, Larry Energeria Ltd acquired a patent for heating glazing unit, as well as incurring expenses in relation to the development of a new power generation brick that it expects...
-
What will be the value of x after executing the following java statement? Assume that value of x is 5 before the execution. x += x++ - 5;
-
Neglecting the size of the pulley at G, (a) Draw the shear and bending-moment diagrams for the beam AB, (b) Determine the maximum absolute values of the shear and bending moment. 24 in. 16 in. 48 in....
-
(i) At a specific point in time, what does a companys trial balance show? (ii) What may the trial balance not show?
-
Is there a relationship between the number of accounting standards issued and demand for accounting and auditing services? Explain this relationship. Given this relationship, should environmental...
-
Monterey Company is considering investing in two new vans that are expected to generate combined cash inflows of $30,000 per year. The vans' combined purchase price is $93,000. The expected life and...
-
A cash flow for a pass-through typically is based on some prepayment benchmark Option. Describe the benchmark Option. What does a conditional prepayment rate of 8% mean? What does 150 PSA mean? How...
-
The names of the employees of Matson Office Systems and their regular salaries are shown in the following payroll register. Note that Wayne and Young are paid monthly on the last payday, while all...
-
1. Let R be the region bounded by y = Vx and y = x*. Use both the washer and the cylindrical shell methods to find the volume of the solid generated by rotating R about (a) the x-axis; (b) the...
-
What are the psychological factors underlying resistance to change among stakeholders, and how can change agents employ principles of cognitive-behavioral psychology to mitigate resistance and...
-
ABC Capital Management is one of the most prestigious asset management companies in the country. It has been managing the wealth of America for over 100 years. It utilizes various forms of...
-
One considers a steady flow down a wide plane, which is inclined to the horizontal by an angle of , under the action of gravitational force as shown in Figure 2. The depth of the fluids normal to the...
-
Imagine that you are reviewing a business plan. In which component of the business plan could you expect to find the answers to the following questions? Question How much interest do owners expect to...
-
5. (20 Points) Write a lisp function (dup n x) that returns a list containing n copies of x. (Hints: if or cond, and cons) > (dup 1 'x) (X) > (dup 0 'x) NIL > (dup 2 'x) (X X) > (dup 2 ((Q) (Q)) >...
-
Java code: a Rock-Paper-Scissors game where the computer always beats the user! Welcome the user to the game, and ask them to enter their move. Make sure the user knows his/her possible options ('R'...
-
Compare and contrast debt financing and equity financing as ways of starting a new business. Does one have an overall advantage over the other? What situation is more favorable to the use of debt...
-
Start with the partial model in the file Ch12 P10 Build a Model.xlsx on the textbook'sWeb site, which contains the 2016 financial statements of Zieber Corporation. Forecast Zieber's 2017 income...
-
Shrieves Casting Company is considering adding a new line to its product mix, and the capital budgeting analysis is being conducted by Sidney Johnson, a recently graduated MBA. The production line...
-
What are some similarities and differences between the NYSE and the NASDAQ Stock Market?
-
The National Center for Health Statistics sampled 5844 American women over the age of 20 and found that their median weight was 157.2 pounds. A histogram of the data set was skewed to the right....
-
In a recent year, approximately 1.7 million people took the mathematics section of the SAT. Of these, 42% scored less than 490, 45% scored less than 500, 49% scored less than 510, 52% scored less...
-
The National Health and Nutrition Examination Survey measured the heights, in inches, of a large number of American adult men. Of these heights, 33% were less than 68, 42% were less than 69, 59% were...
Study smarter with the SolutionInn App