What is its coefficient of variation

Assignment Help Financial Management
Reference no: EM132003733

Stock X has an expected return of 0.09. It has a beta estimated at 1, a risk-free rate of 0.03 and a risk premium of 6.4. Its variance of returns is 0.0146. All returns here are expresed as decimals, not percentages. What is its coefficient of variation? Round your answer to two decimal places.

 

Reference no: EM132003733

Questions Cloud

What should be ranyard current stock price : Ranyard's beta is 0.99, and the last dividend per share paid was $3.1. What should be Ranyard's current stock price?
Self-driving car company escalates legal battle : Google’s self-driving car company escalates legal battle with Uber
Identify five objectives of epidemiology : You are an epidemiologist, and have been asked to speak at Career Day for Myers College, a community college in your area. The theme of this year's Career Day.
Analyze the different psychological factors : Analyze the different psychological factors related to learning and memory at work in this case.
What is its coefficient of variation : Its variance of returns is 0.0146. All returns here are expresed as decimals, not percentages. What is its coefficient of variation?
Illustrate the modes of transmission of communicable disease : Describe or illustrate the modes of transmission of communicable disease in a population. What knowledge should you take away from this information?
Software has earnings before depreciation and taxes : Systems Software has earnings before depreciation and taxes of $ 180 000, depreciation of $ 60 000 and a tax rate of 35 percent.
Estimate the capm using linear regression : Test a hypothesis that the average return on GD stock is different from 2.8%. Which test statistic would you choose to perform this hypothesis test and why
Summarize and comment on the facts in the eeoc claim : BUS435:Review information about responding to EEOC charges and position statements from US Equal Employment Opportunity Commission. Employers.

Reviews

Write a Review

Financial Management Questions & Answers

  Manufacturing firm has just presented a decision tree

The VP of Sales for a manufacturing firm has just presented a decision tree for determining whether or not to conduct market research prior to introducing a new product to the US market. Ignoring the actual calculations, how do you evaluate such a pr..

  Estimate the required return to the issuing company

The formula Do(1+g)/{P(1-f)} + g can be used to estimate the required return to the issuing company on which security?

  Required rate of return on each of the two companies equity

What is the equity beta of each of the two companies? What is the required rate of return on each of the two companies’ equity?

  Expected capital gain yield

A preferred stock has a par value of $100 and a stated dividend rate of 7%. Assuming investor's require a 10% return on the preferred, what is the price today? What is the expected dividend yield? Expected capital gain yield?

  Fixed-rate mortgage for ten years

A home buyer buys a house for $1,427,000. She pays? 20% cash, and takes a? fixed-rate mortgage for ten years at 6.25?% APR. If she makes? semi-monthly payments, which of the following is closest to each of her? payment?

  Source taxable income

Her employer does not have a U.S. trade or business and Liang spends no other time in the U.S. for the tax year. Liang’s U.S.-source taxable income is how much?

  What is the company sustainable growth rate

The Wintergrass Company has an ROE of 13.9 percent and a payout ratio of 40 percent. What is the company’s sustainable growth rate?

  Discounting models or non time value of money models

Which models have the greatest following, discounting models (like IRR and NPV) or non time value of money models (like payback and accounting rate of return)?

  Compare given tax deduction to a uniform tax credit

This tax break is intended to encourage homeownership. - Compare this tax deduction to a uniform tax credit for homeownership on equity and efficiency grounds.

  The agricultural futures exchange

The Agricultural Futures Exchange of Thailand was established in 2004 by the commerce ministry to help develop trading of futures contracts on rice, rubber and tapioca. The government aims the futures exchange to provide farmers and traders the hedgi..

  Determining the civil or criminal proceedings

Consider the following legal actions and indicate whether civil or criminal proceedings would result: (a) Ann decides to divorce her husband, Barry, after 10 years of marriage;

  Warren buffet has been earning an annual rate of return

Warren Buffet has been earning an annual rate of return of 20.5% since he started his investing company. Assume that Londo Mollari put a lump-sum $25,000 under Warren Buffet’s management since 1970, how much money would he have by Year 2010?

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