Question: Need Answers asap, step by step please Tesla, Inc. common stock has a beta of 2.08. If the expected risk-free return is 1.5% and the

Need Answers asap, step by step please

Tesla, Inc. common stock has a beta of 2.08. If the expected risk-free return is 1.5% and the expected market return is 14%, what is the expected return on Teslas stock?

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!

Angelo is employed fulltime as the Global Head of Human Resources at State Fund Corporation ("State Fund"), a large public corporation with its head office located in Toronto. The following...

Tesla, Inc. com mon stock has a beta of 2.08. If the expected risk-free return is 1.5% and the expected market return is 14%, what is the expected return on Teslas stock? Take Test: Chapter 8...

show work please Krenshow Inc. common stock has a reported beta of 1.4. The expected return on the market portfolio is 8.97% and the current risk-free rate of return is 2.14%. Based on the CAPM, what...

Falabella, Inc. common stock has a beta of 0.75 The expected return to the market is 13 percent, and the risk-free rate is 4 percent. The Falabella common stock is actually expected to earn an annual...

Inc. common stock has a beta of 1.5 . The expected return on the market is rcent , and the risk - free rate is 5 percent . The Liga common stock is actual Dected to earn an annual rate of return of...

please can i have answers asap. thank you!! Shares of Exeter, Inc. common stock currently trade on the market for $100 per share. The firm paid dividends of $6.00 per share this year, and that...

MAX, Inc. common stock has a beta of 0.50 The expected return on the market is 12 percent, and the risk-free rate is 5 percent. The MAX common stock is actually expected to earn an annual rate of...

Homework Practice #08 Question 1 The NixonCorporation's common stock has a beta of 1.1. If the risk-free rate is 4.2 percent and the expected return on the market is 12 percent, what is the company's...

I need help with 12-17 and 19. On twelve I do not know how to calculate the rate at which they would be indifferent. I realize it is the rate that makes IRR 0, but i do not know how to do this for...

A financial analyst tells you that investing in stocks will allow you to double your money of $1,000 in 5 years. What annual rate of return is the analyst assuming you can earn? 10.41% 9.87\% 8.76\%...

1. By the history record for U.S. capital market, ________ had the smallest average annual return, and ________ had the greatest standard deviation (total risk) of returns. Large company stocks;...

The one-to-one function g is defined below. g(x) = 7x 2x-1 -1 -1 Find g (x), where g is the inverse of g. - 1 Also state the domain and range of g - 1 g(x) - 1 Domain of g Range of g - 1 = : : in...

In each equation, is y directly proportional, Inversely proportional, or not proportional to x? (a) y = 5x directly proportional o inversely proportional o not proportional (b) y= 5x + 6 directly...

Your firm repurchases stock using extra cash on hand. This would increase the current ratio. Question 5 Answer True False

Add "Viggo Mortenslet cast = new Map ( ) ;en " to the cast as the key, with value "Aragorn".