Companys beta is 1,2 and it has 10 mio shares outstanding. Net profit last year was 18

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Company’s beta is 1,2 and it has 10 mio shares outstanding. Net profit last year was 18 mio USD. S&P500 last year return was approximately 14,2% and its volatility about 22%.

T-bill return was 0,5%. Calculate expected return for company stock with CAPM.

Related Book For answer-question

Modeling the Dynamics of Life Calculus and Probability for Life Scientists

ISBN: 978-0840064189

3rd edition

Authors: Frederick R. Adler

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Posted Date: Jan 07, 2022 07:35 PM

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Companys beta is 1,2 and it has 10 mio shares outstanding. Net profit last year was 18

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Calculation of Expected Return of Company Market Re... View the full answer

Modeling the Dynamics of Life Calculus and Probability for Life Scientists

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