Calculate the expected return of escapist

Assignment Help Finance Basics

Reference no: EM13297797

The common stock of Escapist Films sells for $30 a share and offers the following payoffs next year: Dividend Stock Price Boom 0 $24 Normal economy $1 32 Recession 4 38 All three scenarios are equally likely. a. Calculate the expected return of Escapist. (Negative values should be indicated by a minus sign.) Expected Return Boom % Normal economy % Recession % b. Calculate the standard deviation of Escapist. (Do not round intermediate calculations. Round your answer to 2 decimal places.) Standard deviation %

Reference no: EM13297797

Questions Cloud

Find the ph of the two-component : This was a question on my Mastering Chemistry homework. It's from Tro's Cha: Determine the pH of the following two-component solution: 0.260 M NH4NO3 and 0.102 M HCN

What is the torque acting on the earth : As a result of the friction of tides, the earth rotates more slowly as time progresses. What is the torque(N*m) acting on the earth

Determine the size of the m1 money supply : Determine the size of the M1 money supply using the following information. Currency plus traveler's checks $25 million Negotiable CDs $10 million Demand deposit $13 million Other checkable deposits $12 millions.

How much energy is lost every second : A large steam pipe is covered with 1.3-cm-thick insulating material of thermal conductivity 0.25 J/(s m °C). How much energy is lost every second

Calculate the expected return of escapist : Calculate the expected return of Escapist. (Negative values should be indicated by a minus sign.)

Find the emf induced between the blade tip and central hub : A helicopter has blades of length 4.0 m, rotating at 1.0 rev/s about a central hub, find the emf induced between the blade tip and the central hub

What removal percentage should be expected for particles : A treatment plant has a horizontal flow sedimentation tank with a depth of 4m, width of 6m, length of 36m, and process flow rate of 450m3/h. What removal percentage should be expected for particles that have settling velocities of 1.0 m/h and 2.5 ..

What must the market risk of the stock be : Expected return % Standard deviation % b. If Treasury bills yield 2.5% and investors believe that the stock offers a satisfactory expected return, what must the market risk of the stock be? Market risk $

Determine the speed of the recoiling nucleus : The 14C atom undergoes an explosion and decays into a nucleus, an electron, and a neutrino. From this determine the speed of the recoiling nucleus

User Account

All Pages