Standard deviation of the market-what is the stock beta

Assignment Help Financial Management
Reference no: EM131880467

1. A stock has a covariance with the market of 0.00985. The standard deviation of the market is 15% and the standard deviation of the stock is 21%. What is the stock's beta?

2. Suppose you own a stock worth $65. You sell a call X = $70 and you buy a put X = $60. What have you accomplished?

3. A stock has a covariance with the market of 0.00985. The standard deviation of the market is 15% and the standard deviation of the stock is 21%. What is the stock's beta?

A.   1.000

B.   0.438

C.   0.313

D.   0.066

Reference no: EM131880467

Questions Cloud

Explain the experience of an entrepreneur you admire : You are responsible for doing a three-page "research paper" describing the life, personality, and experience of an entrepreneur YOU admire.
Identify eight core functions of an electronic health record : Identify the eight core functions of an electronic health record. Explain federal regulatory strategies used to promote adoption of electronic health records.
Choose the legal form of organization for the business : Determine the organization structure which is initially needed to get the business operating, including the number of people necessary.
Assess the overall effectiveness of the model your team : How did the team's dynamics contribute to both the success and the challenges of creating an implementation plan for your innovation?
Standard deviation of the market-what is the stock beta : The standard deviation of the market is 15% and the standard deviation of the stock is 21%. What is the stock's beta?
Discuss the duties of a pharmacist toward a patient : Identify and discuss the duties and responsibilities of a pharmacist toward a patient. What is the impact of pharmacist's actions on the patient and community?
Briefly describe the change from the current and prior years : Briefly describe the change from the current and prior years in each of these key areas and determine if the changes would be positive.
What would limbaugh bonds be selling for currently : What would Limbaugh’s bonds be selling for currently? What is the current yield of the Limbaugh bond issue? Assume semi-annual coupons
What is value of these hewitt packing company bonds : Bonds of similar risk are currently selling at a yield to maturity of 12% percent. What is the value of these Hewitt Packing Company bonds?

Reviews

Write a Review

Financial Management Questions & Answers

  Foreign company acquisition

Acquisition by a foreign company and the effects of that decision and the results of foreign exchange in Euro and the exchange rate differences.

  Financial management for profit and non profit organizations

In this essay, we are going to discuss the issues of financial management in a non-profit organisation.

  Method for estimating a venture''s value

Evaluate venture's present value, cash and surplus cash and basic venture capital.

  Replacement analysis

This document show the Replacement Analysis of modling machine. Is replacement give profit to company or not?

  Business finance task - capital budgeting

Your company is considering using the payback period for capital-budgeting. Discuss the advantages and disadvantages of this technique.

  Analysis of the investment

In this project, you will focus on one of these: the additional cost resulting from the purchase of an apple press (a piece of equipment required to manufacture apple juice).

  Conduct a what-if analysis

Review the readings and media for this unit, including the Anthony's Orchard case study media. Familiarise yourself with the Anthony's Orchard company and its current situation.

  Determine operational expenditures

Organisations' behaviour is guided by financial data. In the short term, such data will help determine operational expenditures; in the long term, historical data may help generate forecasts aimed at determining strategic plans. In both instances.

  Personal financial management

How much will you have left over each half year if you adopt the latter course of action?

  Sources of finance for expansion into new foreign markets

A quoted company is considering several long-term sources of finance for expansion into new foreign markets.

  Long term financial planning

This assignment is designed for analyze Long term financial planning begins with the sales forecast and the key input in the long term fincial planning.

  Explain the role of fincial manager

This assignment explain the role of fincial manager, function of manger. And what are the motives of financial manager.

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