User Account

All Pages

What is beta of stock

Assignment Help Finance Basics
Reference no: EM132288994

A stock has an expected return of 12.4 percent, the risk-free rate is 6.5 percent, and the market, risk premium is 10 percent. What must the beta of this stock be ?

What is beta of stock

Reference no: EM132288994

Questions Cloud

What causes a structure to fail during an earthquake : Follow the link (attached in a file) provided and answer the following questions. Remember to make your own conclusions and use the typed written assignment.
Calculate the cost per equivalent unit of conversion : Miller Company had no beginning inventory and adds all materials at the very beginning of its only process. Calculate the cost per equivalent unit of conversion
Write a one page paper about what you think you can do : Write a one page paper about what you think you can do to stop the ancient thriving practice of killing baby girls.
How much will you have 10 years later : Beginning today, you will be investing $5,000 per year for the next 10 years in an account earning 8% quarterly. How much will you have 10 years later?
What is beta of stock : A stock has an expected return of 12.4 percent, the risk-free rate is 6.5 percent, and the market, risk premium is 10 percent. What must the beta of this stock
What is the economic basis for our current healthcare system : What is the economic basis for our current healthcare system, including organization and access, as it stands now?
What is the most that you would pay for the stock : If the required rate of return is 9%, what is the most that you would pay for the stock?
Prepare for yourself an amortization schedule for bond issue : Prepare for yourself an amortization Schedule for this bond issue. From that schedule - Provide the below Journal Entries: (show your calculations)
How much should the investor pay for the stock : The stock will pay a $1.75 dividend and should sell for $42. If the required rate of return is 12%, how much should the investor pay for the stock?

Reviews

Write a Review

Finance Basics Questions & Answers

  What will be the firm share price

What will be the firm's share price after a 13% stock dividend? (Round answer to 2 decimal places. Do not round intermediate calculations)

  What is the yield to maturity of a 9.7%

What is the yield to maturity of a 9.7% semiannual coupon bond with a face value of %1,000 selling for $897.11 that matures in 9 years?

  What is the price of the transaction today

Black-Scholes and Asset Value In the previous problem, suppose you wanted the option to sell the land to the buyer in one year. Assuming all the facts are the same, describe the transaction that would occur today. What is the price of the transact..

  Oberon before-tax component cost of debt

Oberon, Inc., has a $25 million (face value) 10-year bond issue selling for 96 percent of par that pays an annual coupon of 8.40 percent.

  Question regarding the classified balance sheets

The following (given in scrambled order) are accounts and balances from the accounting records of Alleg, Inc., as of December 31, 2012, after the books were closed for the year.

  What is the annual worth of the company

A pharmaceutic engineer started a small-scale drug processing company for the production of Aloe Vera extract with an initial investment of $750 000.

  How are the weights derived that are used in the wacc formul

1. How are the weights derived that are used in the WACC formula? 2. How does a company's before-tax cost of debt compare with a company's after-tax cost of debt? 3. In the WACC formula, how's a company's after-tax cost of debt determined?

  What are the appropriate null and alternative hypotheses

sample yields a mean of 1.80 and a standard deviation of 1.30.- What are the appropriate null and alternative hypotheses?  -  Is this a one-tailed or two-tailed test?

  What is the firm weighted average cost

The yield-to-maturity on the debt is 9.36 percent. What is the firm's weighted average cost of capital if the tax rate is 35 percent?

  Grow at an annual rate

Sarif currently reinvests 28% of its earnings each year and its dividends are expected to grow at an annual rate of 5% in perpetuity.

  Should the lease be made or not

Estimated salvage is $10,000. If Darling requires a 20 percent after-tax return on equipment it leases, should the lease be made?

  What is the total of the minimum payments

What is the total of the minimum payments? What is the total of the finance charges? How much does the starting balance decrease after these three payments? The total of your finance charges is what percent of your total payments?

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