Question: please answer both. Problem 8.16 (CAPM and Portfolio Return) Question 7 of 20 Check My Work (3 remaining) eBook Problem Walk-Through You have been managing

please answer both.  please answer both. Problem 8.16 (CAPM and Portfolio Return) Question 7
of 20 Check My Work (3 remaining) eBook Problem Walk-Through You have

Problem 8.16 (CAPM and Portfolio Return) Question 7 of 20 Check My Work (3 remaining) eBook Problem Walk-Through You have been managing a $5 million portfolio that has a beta of 0.95 and a required rate of return of 9.225%. The current risk-free rate is 4%. Assume that you receive another $500,000. If you invest the money in a stock with a beta of 1.25, what will be the required return on your $5.5 million portfolio? Do not round Intermediate calculations, Round your answer to two decimal places % Problem 9.18 (Nonconstant Growth) Question 19 od 20 Check My Work (3 remaining) eBook Carnes Cosmetics Co.'s stock price is $50, and it recently paid a $2.25 dividend. This dividend is expected to grow by 20% for the next 3 years, then grow forever at a constant rate : and r, -14%. At what constant rate is the stock expected to grow after Year 3? Do not round intermediate calculations. Round your answer to two decimal places

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