Question: The expected return on Justus, Inc. stock is 14.10% while the expected return on the market is 11.1%. The beta of Justus's stock is 1.62.

The expected return on Justus, Inc. stock is 14.10% while the expected return on the market is 11.1%. The beta of Justus's stock is 1.62. What is the risk-free rate of return

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!

The expected return on Justus, Inc. stock is 1 4 . 3 0 % while the expected return on the market is 1 1 . 0 % . The beta of Justus's stock is 1 . 6 0 . What is the risk - free rate of return?

The expected return on Justus, Inc. stock is 15.63% while the expected return on the market is 12.4%. The beta of Justus's stock is 1.48. What is the risk-free rate of return?

last option which isn't visible in the picture is 2.32% The expected return on Justus, Inc. stock is \14.30 whille the expected return on the market is \10.9. The beta of Justus's stock is 1.58 ....

The expected return on Justus, Inc. stock is 14.00% while the expected return on the market is 10.7%. The beta of Justus's stock is 1.54 . What is the risk-free rate of return? Multiple Choice 3.81%...

The expected return on Justus, Inc. stock is 14.30% while the expected return on the market is 10.5%. The beta of Justus's stock is 1.58 . What is the risk-free rate of return? Multiple Choice 3.95%...

The expected return on Justus, Inc. stock is 15.63% while the expected return on the market is 12.4%. The beta of Justus's stock is 1.48. What is the risk-free rate of return? O a. 4.20% O b. 5.67% O...

The expected retum on Justus, Inc. stock is \13.80 whille the expected retum on the market is \10.9. The beta of Justus's stock is 1.62 . What is the risk free rate of return? Muttiple Choice \\( 548...

9. Which one of the following actions will tend to increase the systematic risk of a portfolio? the sale of a stock with a beta of .67 and an offsetting purchase of U.S. Treasury bills the sale of...

Note: Please show me your calculation process! ? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) 1. Stock Y has a beta of .9 and...

14 The expected return on Justus, Inc. stock is 14 20% while the expected return on the market is 11.0% The beta of Justus's stock is 1.60 What is the risk-free rate of retur? 014909 Multiple Choice...

David Gould set up his accounting firm, providing accountingservices to small businesses, in 20X6. Within three years his fee incomewas in excess of 100K a year and he had nearly 100 clients most of...

Determine whether each of the following 8 losses are insured under the Homeowners Comprehensive Form by indicating YES (Y) if it is covered or NO (N) if it is not covered: Crafts done by the insured...

citation for disclosure requirements for available for sale securities and list the requirements

Using the free cash flow valuation model, show the only avenues by which the capital structure csn affect value.

(LO 9-4) Explain how probability helps refine a what-if analysis.

(LO 9-1) Match the description of the tax analytics technique to the data analytics type: Descriptive analytics Diagnostic analytics Predictive analytics Prescriptive analytics Tax Analytics...

(LO 9-1) Predictive analytics help identify future tax liabilities. What data would a tax accountant need in order to perform a predictive analysis?