Question: Question 5 (0.2 points) In the last three years a stock had returns of 27.50%, -21.50%, and 9.00%. What was the arithmetic average annual return


Question 5 (0.2 points) In the last three years a stock had returns of 27.50%, -21.50%, and 9.00%. What was the arithmetic average annual return of the stock? (Enter your answer as a percentage rounded to 2 decimal places. For example, enter 1.53% instead of .0153.) Your Answer: Answer units Question 13 (0.2 points) According to the capital asset pricing (CAPM) model, what return should you require for a security with a beta of 1.2, if the risk-free rate is 2.6% and the market return is 11.8%? (Enter your answer as a percentage. For example, enter 8.43% instead of 0.0843.) Your Answer: Answer units
Step by Step Solution
There are 3 Steps involved in it
1 Expert Approved Answer
Step: 1 Unlock
Question Has Been Solved by an Expert!
Get step-by-step solutions from verified subject matter experts
Step: 2 Unlock
Step: 3 Unlock
