Find the expected return on a stock with a beta

Assignment Help Financial Management

Reference no: EM132031689

The total expected return on the entire stock market is 12 percent and U.S. Treasuries are yielding 3.5 percent.

What is the expected return on a stock with a beta of 2.2? (show your answer in decimal form to four places, i.e., 12.34% would be entered as 0.1234)

Reference no: EM132031689

Questions Cloud

What is the optimal number of futures contracts with tailing : What is the optimal number of futures contracts with tailing the hedge? Assume the same hedge ratio.

Compute the earnings per share for each level of sales : Compute the earnings per share (EPS) for each level of sales, the expected EPS, the standard deviation of the EPS.

Calculate the companys wacc : The yield to maturity on the bonds is 9%, and the firm's tax rate is 40%. What is the company's WACC?

What is the new import price in british pounds : Toyota manufactures most of the vehicles it sells in the United Kingdom in Japan. The base platform for the Toyota Tundra truck line is 1, 650,000.

Find the expected return on a stock with a beta : The total expected return on the entire stock market is 12 percent and U.S. Treasuries are yielding 3.5 percent.

What are the total cash collections : What are the total cash collections for Q1? What are the total cash disbursements for Q1?

Calculate the net present value of the tractor-mower : Calculate the net present value of the tractor-mower investment using a discount rate of 8%.

Should the hedger take a long or short futures position : The futures price of the related asset is $27 and the standard deviation of the change in this over the life of the hedge is $0.40.

Calculate the value of net working capital : The only item missing from the balance sheet is current assets. What is the value of net working capital?

User Account

All Pages