User Account

All Pages

Share j has a beta of 135 and an expected return of 17

Assignment Help Finance Basics
Reference no: EM13567434

Share J has a beta of 1.35 and an expected return of 17%, while Share K has a beta of 0.8 and an expected return of 10%. You want a portfolio with the same risk as the market. How much will you invest in each share? What is the expected return of your portfolio?

Reference no: EM13567434

Questions Cloud

Which of the following best describes sequential processing : which of the following best describes sequential processing? answer units must pass sequentially through a process.
Dingo ltd shares have a beta of 15 and an expected return : dingo ltd shares have a beta of 1.5 and an expected return of 16. shares in white shark ltd have a beta of 0.70 and an
Direct materials 90000 direct labor 120000 overhead 30000 : kramer inc. manufactures a product that passes through two processes mixing and molding. all manufacturing costs are
A portfolio is invested 20 in house 40 in door and 40 in : a portfolio is invested 20 in house 40 in door and 40 in window. the expected returns on these investments are 9 17 and
Share j has a beta of 135 and an expected return of 17 : share j has a beta of 1.35 and an expected return of 17 while share k has a beta of 0.8 and an expected return of 10.
Why is liquidity important in analysis of financial : why is liquidity important in analysis of financial statements? explain its importance from the viewpoint of more than
Prepare the entry to record the merchandise returns if no : halifax manufacturing allows its customers to return merchandise for any reason up to 90 days after delivery and
What is the justification for including prepaid expenses in : what is the justification for including prepaid expenses in current
What is the current ratio what does the current ratio : what is the current ratio? what does the current ratio measure? what are reasons for using the current ratio for

Reviews

Write a Review

Finance Basics Questions & Answers

  Price of bonds-rate of return-expected return

You believe that next year there is a 30% probability of recession and 70% probability that the economy will be normal. If your stock will yield 10% in the recession and 20% in normal year, what is your expected return?

  Find the present values of these ordinary annuities

Find the present values of these ordinary annuities. Discounting occurs once a year. Round your answers to the nearest cent.

  What is the breakeven point in sales dollars for win

What is the breakeven point in sales dollars for Win?

  What is the cost of equity for the company

A company is known to have a target debt-equity ratio of 0.60. Its WACC is 13.80 percent, and the tax rate is 35 percent.

  You own a 210000 portfolio that is invested in stock a and

you own a 210000 portfolio that is invested in stock a and b. the portfolio beta is equal to the market beta. stock a

  What was butler industries cash flow from financing

Decrease in accounts payable $10 Increase in accounts receivable $26 Increase in Long-term debt $100 What was Butler Industries' Cash Flow from Financing for the year ending 6/30/2011?

  Case study

Case Study: The following capital structure is taken from Bata Boots Co. balance sheet for the fiscal year ended April 30, 2005.  This is considered the firm’s optimal capital structure.

  Determine g by rearranging the conventional ddm formula

Determine g by Rearranging the Conventional DDM Formula. Johnson Corporation's stock is currently selling at $45.83 per share. The last dividend paid was D0 = $2.50.

  Consider the following condensed income statement if cogs

consider the following condensed income statement2004sales 8000000cogs 6500000gross profit 1500000sales growth in 2005

  Due to the increasing age of the home she expects that

christine is a new homebuyer. she wants to make sure that she incorporates the cost of maintenance into her decision.

  Swap 1 is a 10ndashyear fixed-for-floating swap for

swap spreads assume the following term structure of risky and riskless interest rates.year riskless risky 1 6.91 7.33

  What is the compound growth rate of dividends

Assume a retention ratio of 0.45 and a historical return on equity (ROE) of 0.18. Using these two additional pieces of information, calculate an alternative estimate of dividend growth rate, g.

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd