Question: Please help with these 3 problems, I am confused on how to solve. Thanks! Question 2: An individual has $25,000 invested in a stock with
Please help with these 3 problems, I am confused on how to solve. Thanks!
Question 2:
| An individual has $25,000 invested in a stock with a beta of 0.5 and another $75,000 invested in a stock with a beta of 1.7. If these are the only two investments in her portfolio, what is her portfolio's beta? Do not round intermediate calculations. Round your answer to two decimal places.
____% |
Question 3:
| eBook Assume that the risk-free rate is 4.5% and the required return on the market is 11%. What is the required rate of return on a stock with a beta of 2? Round your answer to two decimal places. _____ % |
Question 7:
Given the following information, determine the beta coefficient for Stock L that is consistent with equilibrium: rL= 8.5%; rRF = 1.5%; rM = 12.5%. Round your answer to two decimal places.
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