Question: Help needed G G Answer D E F Question The stock market is expected to rise by 9.75% this year and treasuries yield 3.75%. If

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Help needed G G Answer D E F Question The stock market

G G Answer D E F Question The stock market is expected to rise by 9.75% this year and treasuries yield 3.75%. If Northampton Chemicals's stock has a beta of 1.60, what is its expected return? The expected return for the market is 10.50% and the risk-free rate of return is 5.25%. What is the expected return for Bristol Consulting's stock (beta = -0.74)? 7 What is the expected return for Newcastle Advertising? Its beta is -0.26 and the risk-free rate of return is 2.00% and the market risk premium is 7.50%. B What is the dollar price of a 8.25% bond that makes annual coupon payments and has a face value of $500? The appropriate discount rate is 9.10% and it matures is 16 years. 9 Treasuries yield 4.50% and the S&P's expected return is 11.75%. What is the fair price for Bath Freight's stock? It is expected to pay a dividend of $29.00 this year, to decrease the dividends by 10 3.50%, and has a beta of 0.76. What is the fair price for Wasps Data's equity? It just generated $6,850,000 in cash flows to owners, and is expected to increase this by 5.30% for the foreseeable future, and has a beta of 1.35; 11 the risk-free rate of return is 6.25%; and the market risk.premium is 6.25%? What is the target price for London Health's stock in one year? It has a beta of 1.11, sells for $463.00 today, and is expecting to pay a dividend of $19.75 in one year. The risk-free rate of return 12 is 2.25% and the market risk premium is 7.00%. What is the yield to maturity for a 5.75% bond that matures in 7 years with a quoted price of 94.00? 13 Exeter Communications's stock has a beta of 1.90. Treasuries yield 3.00% and the S&P 500 is expected to rise by 5.00% more than that. What is the expected return for Exeter 14 Communications's stock? Suppose Gloucester Industrial's stock has a beta of 0.47 and has a target stock price of $312.00 in one year and to pay a dividend of $11.75 at that time. How much is the stock worth today if the 15 expected return for the stock market is 6.25% and treasuries yield 0.75%? 16 17

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