Question: a. Given the following holding-period returns, compute the average returns and the standard deviations for the Zemin Corporation and for the market. b. If Zemins

a. Given the following holding-period returns, compute the average returns and the standard deviations for the Zemin Corporation and for the market.

b. If Zeminâ€™s beta is 1.54 and the risk-free rate is 4 percent, what would be an expected return for an investor owning Zemin?
c. How does Zeminâ€™s historical average return compare with the return you believe you should expect based on the capital asset pricing model and the firmâ€™s systematicrisk?

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A We are given values for both Zemin Corporations and the markets historical returns These are shown in the table below in columns B and E respectivel... View full answer

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