Capital asset pricing model to calculate beta

Assignment Help Managerial Economics
Reference no: EM1373119

If T-Bills have a 4 percent rate and the expected portfolio return is 12 percent How would I use the capital asset pricing model to calculate

What the required investment with a beta of 1.5 and how do i determine NPV with a beta of .8 and the retun is projected to be 9.8% and with a 11.2% market retun from stock x, what is the beta

 

Reference no: EM1373119

Questions Cloud

Compute the expected value for company : Given the following data, compute the expected value for company C's EPS. Information for Firms A nand B are as follows: E=$5.10, and oA=$3.61; E=$4.20,
Compute the required rate of return on a stock : Compute the required rate of return on a stock that has a beta of 2, if the risk-free rate is 4% and the market rate of return is 12 percent.
Theory of money demand : What will happen to the price of asset A and what about the nominal interest rate on asset A and explain how an open market purchase leads to an increase in the money supply when the central bank pays for it with reserves - even though reserves th..
Compute the beta of the firm : Ccompute the beta of the firm if the risk-free rate is 4%, and the market rate of return is 14 percent.
Capital asset pricing model to calculate beta : If T-Bills have a 4 percent rate and the expected portfolio return is 12 percent How would I use the capital asset pricing model to calculate
Determine the companies cost of capital : If the market price of common stock of a real estate company is 6 million and the value of its debt is 4 million with a beta of 1.5 and the risk premium on the market is 6 percent and the treasury bill rate is 4 percent
Evaluation of an investment opportunity : ANNA is considering to form a new company with initial investment of $8Million, there are two projects available for her to choose. the first project offers a 40 percent chance of a $12.5 million payoff
Concepts of accounting profit and economic profit : How do the ideas of accounting profit and economic profit differ and explain why is economic profit smaller than accounting profit also determine the three basic sources of economic profit?
Estimating expected rate of return on the stock : Computing expected rate of return, required rate of return on a stock. Assume Walmart stock currently sells for $30 per share. The stock just paid a dividend of $0.75 per share.

Reviews

Write a Review

Managerial Economics Questions & Answers

  Linear programming problem

Linear programming is a mathematical technique used to determine the optimal solutions to certain specific problems.

  Demand, supply and the market equilibrium

The article study for the demand, supply and the market equilibrium has been discussed. The article that has been review was published on August 2012.

  Supply and demand in professional sports

Draw the individual cost curves on one graph: marginal cost, average total cost, average ?xed cost, and average variable cost. Place costs ($) on the y-axis and quantity (Q) on the x-axis.

  Explain whether the firm will make economic profit

Explain whether the firm will make economic profit, In the short run and In the long run.

  Determine the official measure of the deficit

Determine the official measure of the deficit

  Coordination of the activities of a business

The organization and coordination of the activities of a business in order to achieve defined objectives.

  What is the profit maximizing number of gizmo widgets

What is the profit maximizing number of Gizmo Widgets that should be introduced? Be sure to account for the fact that Gizmo Widgets displace other kinds of widgets. Again, be sure you provide a brief explanation of your approach/reasoning.

  Determine autocorrelation function of a rectangular pulse

Prepare the sketch the Fourier transform of a rectangular pulse of amplitude 10 V and width 0.1 second that is centered on the zero time axis. Determine the autocorrelation function of a rectangular pulse.

  Managerial economics assignment

Carry out an analysis from the standpoint of both EMV and expected utility to establish Jeremiah’s best course of action, including a consideration of his bidding strategy with regard to the auction.

  Prepare a marginal cost analysed income statement for 2014

Prepare a Marginal Cost Analysed Income Statement for 2014 from the above data to identify total and individual medical procedure contributions and profits.

  Prepare a marginal cost analysed income statement for 2014

Prepare a Marginal Cost Analysed Income Statement for 2014 from the above data to identify total and individual medical procedure contributions and profits.

  Solve managerial economics questions

MGMT 3306: Solve the assignment problems, 1. Please answer the assignment questions in this docx file and save once you’re satisfied. Assignment 3covers the lectures slides for Week 6.

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