Suppose that returns on Durham Company have a covariance with the market of 0.0635 and that the
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Suppose that returns on Durham Company have a covariance with the market of 0.0635 and that the variance of the market returns is 0.04326. The market risk premium is 9.4 percent and the expected return on Treasury bills is 4.9 percent. What is the required return of Durham Company?
Related Book For
Introduction to Operations Research
ISBN: 978-1259162985
10th edition
Authors: Frederick S. Hillier, Gerald J. Lieberman
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