Question $29(1$ point$)$

The nominal rate of return is $\%$ earned by an investor in a bond that was

purchased for $$922,$ has an annual coupon of $8\%,$ and was sold at the end of the year

for $$1038?$ Assume the face value of the bond is $$1,000.$

A

Question $30(1$ point$)$

If a stock consistently goes down $($up$)$ by $1\mathrm{.}25\%$ when the market portfolio goes

down $($up$)$ by $1\mathrm{.}13\%,$ then its beta equals:

Question $31(1$ point$)$

A stock is expected to return $9\%$ in a normal economy, $13\%$ if the economy booms,

and lose $5\%$ if the economy moves into a recessionary period. Economists predict a

$56\%$ chance of a normal economy, a $15\%$ chance of a boom, and a $29\%$ chance of a

recession. The expected return on the stock is

$\%.$