Question: :(( 13. Using CAPH A stock has an expected return of 11.5 percent, the risk-free rate is 2.8 percent, and the market risk premium is

:(( 13. Using CAPH A stock has an expected return of

:((

13. Using CAPH A stock has an expected return of 11.5 percent, the risk-free rate is 2.8 percent, and the market risk premium is 7.2 percent. What must the beta of this stock be

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

Example for Question 8: Using CAPM: A stock has an expected return of 10.2 percent, the risk-free rate is 3.9 percent, and the market risk premium is 7.2 percent. What must the beta of this stock be?...

need to know how to do this by hand not excel stock be? 14. Using CAPM. A stock has an expected return of 15 percent, the risk-free rate is 4 percent, and the market risk premium is 8 percent. What...

14. Using CAPM. A stock has an expected return of 11.4 percent, the risk-free rate is 3.7 percent, and the market risk premium is 7.1 percent. What must the beta of this stock be? 15. Using CAPM. A...

1 1. Using CAPM A stock has an expected return of 13.4 percent, the risk-free rate is 3.8 percent, and the market risk premium is 7 percent. What must the beta of this stock be? [Hint: Expected...

Using CAPM A stock has an expected return of 13 percent, the risk-free rate is 4.5 percent, and the market risk premium is 7 percent. What must the beta of this stock be?

a stock has an expected return of 11.5 percent, the risk-free rate is 3.2 percent, and the market risk premium is 7 percent. What must the beta of this stock be?

Chapter 11 - End of Chapter Questions and Problems - Question 14 O 1.13 1.55 1.73 1.80 1.93 PART 6 Risk and Return LOA 14. Using CAPM A stock has an expected return of 11.4 percent, the risk-free...

Chapter 13 A Saved A stock has an expected return of 10.8 percent, the risk-free rate is 4 percent, and the market risk premium is 5 percent. What must the beta of this stock be? (Do not round...

i am confused about why the second rf value is not factored in i got a differenr answer 11.14 Using CAPM. A stock has an expected return of 11.4 percent, the risk-free rate is 3.7 percent, and the...

Problem 1 1 - 1 3 Using CAPM A stock has an expected return of 1 2 . 4 percent, the risk - free rate is 6 . 5 percent, and the market risk premium is 1 0 percent. What must the beta of this stock be...

In the movie Die Hard: With a Vengeance, in one of the action scenes, the characters Mc Clane and Carver were caught in a breathtaking scenario where they need to keep a bomb from exploding, and the...

Bright Sales, Inc.s inventory records for a particular development program show the following at January 31: At January 31, nine of these programs are on hand. Journalize the following for Bright...

Brief Exercise 6-32 (Appendix 6A) FIFO; Production Report Refer to the information for Aztec Inc. given. Aztec Inc. produces soft drinks. Mixing is the first department, and its output is measured in...

The purpose of A B testing is to: compare the effectiveness of two different landing pages compare the effectiveness of two different ads compare the effectiveness of two different keywords all of...