Determine the beta coefficient for a stock

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1. FedEx Corp stock ended the previous year at $103.39 per share. It paid a $0.35 per share dividend last year. It ended last year at $106.69. If you owned 200 shares of FedEx, what was your dollar return and percent return?

2. Rank the following three stocks by their level of total risk, highest to lowest. Rail Haul has an average return of 12 percent and standard deviation of 25 percent. The average return and standard deviation of Idol Staff are 15% and 35%; and of Poker-R-Us are 9 percent and 20 percent. Before solving this problem, calculate the coefficient of variation.

3. Year-to-date, Oracle had earned a -1.34% return. During the same time period, Valero Energy earned 7.96% and McDonald's earned 0.88%. If you have a portfolio made up of 30 percent Oracle, 25% Valero Energy, and 45 percent McDonald's, what is your portfolio return?"

4. Hastings Entertainment has a beta of 0.65. If the market return is expected to be 11% and the risk-free rate is 4%, what is Hastings' required return? Use the capital asset pricing model.

5. Determine the beta coefficient for a stock with a return of 10%, risk free rate of 3% and the market return of 9%.

Reference no: EM133003613

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