Question: Excel Online Structured Activity: Hestonical Retum: Expected and Required Rates of Retum You have observed the following returns over time: Assume that the risk-free rate


Excel Online Structured Activity: Hestonical Retum: Expected and Required Rates of Retum You have observed the following returns over time: Assume that the risk-free rate is 4% and the market nisk premium is 6%. The data has been collected in the Microsplt Excel ondine the befow. Cpen the ipikathicet and perform the required analysis to answer the questions below. a. What is the beta of Stock X? Do not round intermediate calculations. Round vour answer to two deomal plices. What is the beta of Stock Y ? Do not round intermedate calculations. Round your answer to two deomal places. b. What is the required rate of return on Stock X ? Do not round intermeda te calculations. Paund your answer to one deomal plack. \% What is the required rate of retum on Stock Y Do not round intermedate calculaoons. Round your answer fo one ifecimal place: % prie decimal place
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
