Expected return on the market-risk-free rate

Assignment Help Biology
Reference no: EM132645041

A company stock has an expected return of 19 percent with a beta of 1.7, while B company stock has an expected return of 14 percent with a beta of 1.2. Assume the CAPM is true. What is the expected return on the market? What is the risk-free rate? Note: beta of the market is one, CAPM is defined with security market line.

Reference no: EM132645041

Questions Cloud

Explain how the declining balance method is calculated : Explain how the declining balance method is calculated? What kind of assets is the units-of-activity method of depreciation suited for
Would net income have been higher or lower : Shareholders' Equity of Family Dollar, If Family Dollar Stores had not declared dividends would net income have been higher/ lower or the same as reported?
Find optimal cash replenishment level : Rose Resources faces a smooth annual demand for cash of $11.0 million; incurs transaction costs of $375 every time they sell marketable securities
Identify crime and crime scene in a well-organized manner : Imagine that you have been hired by the FBI to work as a profiler. In this assignment, put your skills to the test by developing a PowerPoint presentation.
Expected return on the market-risk-free rate : A company stock has an expected return of 19 percent with a beta of 1.7, while B company stock has an expected return
What was average price per share that family dollar stores : What was the average price per share that Family Dollar Stores paid to repurchase shares during fiscal year ended August 30, 2008?
Determine expected return on the portfolio : Can the expected return on the portfolio be less that the return on the asset in the portfolio with the lowest return? Explain.
How much time was banks given to come to the door : In the case of United States v. Banks, how much time was Banks given to come to the door? What was the Supreme Court's ruling on the amount of time given.
What is the total amount accumulated : What is the total amount accumulated after 6 years if someone invests $4000 today with a simple annual interest rate of 8 percent

Reviews

Write a Review

Biology Questions & Answers

  Immune response to infectious disease

It is a very curcial concept to understand how the immune response is mounted against viruses, bacteria, protozoans and helminthes. For an effective immune response, both innate and adaptive immunity should work together.

  A review on advanced glycated end products (ages)

This Project report elaborates a critical review of important elements attached to Advanced Glycated End Products (AGEs). It is very crucial to understand the process called Millard reaction.

  Plastic as a soil stabilizer

Soil stabilization is the permanent physical and chemical alteration of soils to enhance their physical properties. Stabilization can increase the shear strength of a soil and control the shrink-swell properties.

  Principles of microbiology

This assignment has three parts which contains questions related to Microbiology. It contains basic principles of microscopy, staining techniques in microbiology and microbial growth in the food industry.

  List the biologic functions

Lipid metabolites are often seen as key elements in cellular signaling. Is this unique? Please provide several examples of the function of lipids as key elements in signal arrays and list the biologic functions these signals affect?

  Biologic function relationships

Please describe how one might search for chemical structure, biologic function relationships, involving small molecular weight lipophylic compounds. Provide one example.

  Case study on patient in the haematology laboratory

Write a case study which detailing a scenario of a patient being investigated in the Haematology laboratory.

  Use of pcr and genetic approaches in biotechnology

The use of PCR and genetic approaches in biotechnology

  Describe the role of this enzyme in honey

Glucose oxidase is an enzyme that can be used for measurements of glucose levels by combining this reaction with an oxygen probe.

  Genetic problems

What phenotypic ratio would you get if you crossed a white mouse and a heterozygous brown mouse?

  Prepare an essay on nosocomial infection

Prepare an essay on nosocomial infection.

  Monitoring and recording the blood pressure

To increase the awareness of monitoring and recording the blood pressure of patients and practice measuring blood pressure in a safe environment.

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