Appropriate expected return of breckenridge?

Assignment Help Finance Basics
Reference no: EM132707668

(Capital Asset Pricing? Model)

?Breckenridge, Inc., has a beta of 0.96. If the expected market return is 11.0 percent and the? risk-free rate is 6.0 ?percent, what is the appropriate expected return of Breckenridge? (using the? CAPM)?

The appropriate expected return of Breckenridge is ---?%. ?(Round to two decimal? places.)

Reference no: EM132707668

Questions Cloud

Present value of a complex? stream : Don Draper has signed a contract that will pay him $50,000 at the beginning of each year for the next 7 ?years, plus an additional $110,000 at the end of year 7
Prepare schedules computing inventory budgets : Prepare schedules computing inventory budgets by months for raw materials purchases in pounds for April and May
How the change in the percentage of rental units : Describe how the change in the percentage of rental units in housing starts could create problem with the stable product mix assumption.
List the resources required for manpower and materials : List the resources required for each session (manpower, materials, location, etc). Note the specific training goal for each session ( what specific skills are).
Appropriate expected return of breckenridge? : ?Breckenridge, Inc., has a beta of 0.96. If the expected market return is 11.0 percent and the? risk-free rate is 6.0 ?percent
What sales volume will tactics ltd management be indifferent : Tactics Ltd's selling price for its product is $120. What sales volume will Tactics Ltd's management be indifferent as to the alternative cost structures?
Internal rate of return-peace of mind inc : Peace of Mind, Inc. (PMI), sells extended warranties for durable consumer goods such as washing machines and refrigerators. When PMI sells an extended warranty
Prepare appropriate journal entries for Moore Corporation : June 30, 2021- Machinery with a cost of $1,080,000. Prepare the appropriate journal entries for Moore Corporation for the above dates
How do prepare entries on the books of franchisor to record : Pancake House sells franchises for an initial fee of P432,000. Prepare entries on the books of franchisor to record the above transactions.

Reviews

Write a Review

Finance Basics Questions & Answers

  Your car dealer is willing to lease you a new car for 319 a

your car dealer is willing to lease you a new car for 319 a month for 60 months. payments are due on the first day of

  Format a formal business-financial plan

You need to format your final project just as you would format a formal business/financial plan for your company. Make sure your business/financial plan.

  Discuss the positives and negatives of capitalizing leases

Discuss the positives and negatives of CAPITALIZING leases and the related leased assets.

  Find out cost of goods sold-mineral labs

At the end of January, Mineral Labs had an inventory of 795 units, which cost $8 per unit to produce. During February the company produced 1,000

  Explain three accounting and finance features

List and explain three accounting and finance features for limited corporations? How is accounting and financial reporting regulated in your country?

  Review and identify furmans legal rights in given situation

Review and identify Furman's legal rights in this situation. Explain the probability that Furman will have to pay American Express for any illegal charges to the account.

  Computation of fixed operating cost and breakeven sales

Computation of fixed operating cost and breakeven sales and What is his breakeven level of sales at the level of fixed operating costs determined

  Calculate the annual end of year loan payment amount

Calculate the annual end of year loan payment amount. Prepare a loan amortization schedule showing the interest and principal break down of each of the three loan payments.

  How much was the mutual fund worth after 9 year

When the CD matured she invested the full amount in a mutual fund that had an annual growth equivalent to 18% compounded annually. How much was the mutual fund worth after 9 year?

  Explain the significance of npv

Explain the significance of NPV, IRR, MIRR, PB, DPB and PI and make a convincing argument for the acceptance or rejection of this investment.

  Cadaveric femurs from subjects in three age groups

A recent study that examined bone strength collected data from cadaveric femurs from subjects in three age groups. The data are below. Does mean bone strength differ for the three age groups? Use a 5% level of significance. Make sure to 1. give th..

  Calculate the term of the bond

A bond with a face value of 100, 000 has coupons of 3% per annum payable semi-annually. It will be redeemed at par. It is purchased for a price of 91,825. At this price the yield to maturity is 4% per annum convertible semi-annually.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd