What is its expected return

Assignment Help Financial Management

Reference no: EM132058703

Suppose the risk-free return is 5.6 % and the market portfolio has an expected return of 10.6 % and a standard deviation of 16 % Johnson & Johnson Corporation stock has a beta of 0.32

What is its expected return?

The expected return is? (Round to two decimal places.)

Reference no: EM132058703

Questions Cloud

What is longest time between market dip and dip value : What's the longest time between a market dip (Dow or S&P 500) and it returning back to the before dip value.

For the initial condition assume that account runs money : For the "initial condition" assume that account runs money in 20 years.

Determine the euro-pound exchange rate : A German firm is attempting to determine the euro/pound exchange rate and has the following exchange rate information:

The stock market and treasury bill returns : Assume these are the stock market and Treasury bill returns for a 5-year period. What was the standard deviation of the risk premium?

What is its expected return : Suppose the risk-free return is 5.6 % and the market portfolio has an expected return of 10.6 %. What is its expected return?

Exchange rate for usd-aud under interest rate parity : What should be the 1-year forward exchange rate for USD/AUD under Interest Rate Parity?

What is a subsidiary : The rate at which one currency can be exchanged for another is called? What is a subsidiary?

Joint venture and acquisition of existing operations : What is the critical difference between a joint venture and an acquisition of existing operations?

When stock plots above the security market line : What does it mean when a stock plots above the Security Market line? Why is the cost of debt in countries with younger households?

User Account

All Pages