What is the beta of the second stock

Assignment Help Finance Basics
Reference no: EM13282356

You own a portfolio equally invested in a risk-free asset and two stocks. One of the stocks has a beta of 1.9 and the total portfolio is equally as risky as the market. What is the beta of the second stock?

A stock has an expected return of 11 percent, the risk-free rate is 5.2 percent, and the market risk premium is 5 percent. What is the stock's beta?

 

Reference no: EM13282356

Questions Cloud

Calculate the current fair value of webistics stock : After that, you expect Webistics dividends to grow at a constant annual rate of 8%. Calculate the current fair value of webistics stock.
What is the volume of the liquid water : 3.00×104 of 300 C steam at a pressure of 20.0 is cooled until it condenses. What is the volume of the liquid water
Determine the force exerted on a point charge q1 : Find the force exerted on a point charge Q1 by the point charges Q2 andQ3. Assume that Q1 =2.5[nC], Q2 = -12.0[nC], andQ3= -1.7[nC] are located at (0,-1,2)[m],(1.5,2,-1)[m],k and (-1,-1.5,2)[m], respectively.
Role in solid and hazardous waste management : How does the state role differ from the federal role in solid and hazardous waste management? Do they work compatibly together?
What is the beta of the second stock : You own a portfolio equally invested in a risk-free asset and two stocks. One of the stocks has a beta of 1.9 and the total portfolio is equally as risky as the market. What is the beta of the second stock?
Find the maximum displacement of the particle : A 9.0×10-24-kg particle is vibrating with simple harmonic motion with a period of 1.9×10-5 s, Find the maximum displacement of the particle
Explain what pressure will be indicated by a pressure gage : A tank having a volume of 1000 ft3 contains 22 lb of CO2, 46 lb of O2 and 154 lb of N2. What pressure will be indicated by a pressure gage attached to the tank if the gas is at ambient temperature (80°F)
What is the projected net present value of this project : This project has initial costs of $325,000 and annual cash inflows of $87,000, $279,000, and $116,000 over the next three years, respectively. What is the projected net present value of this project?
How many electrons are there in given water : Water has a mass per mole of 18.0 g/mol, and each water molecule (H2O) has 10 electrons. How many electrons are there in 6.24 liters of water

Reviews

Write a Review

Finance Basics Questions & Answers

  Financial reporting and analysis

Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..

  A report on financial accounting

This report is specific for a core understanding for Financial Accounting and its relevant factors.

  Describe the types of financial ratios

Describe the types of financial ratios and other financial performance measures that are used during venture's successful life cycle.

  Differences between sole proprietorship and corporation

Briefly describe the major differences between a sole proprietorship and a corporation

  Prepare a cash budget statement

Calculate the expected value of the apartment in 20 years' time. What is the mortgage loan repayment at the beginning of each month

  What are the implied interest rates

What are the implied interest rates in Europe and the U.S.?

  State pricing theory and no-arbitrage pricing theory

State pricing theory and no-arbitrage pricing theory

  Small business administration

Identify the likely stage for each venture and describe the type of financing each venture is likely to be seeking and identify potential sources for that financing.

  Effect of financial leverage

The Effect of Financial Leverage and working capital management

  Evaluate the basis for the payment to the lender

Evaluate the basis for the payment to the lender and basis for the payment to the company-counterparty.

  Importance of opps, ipps, mpfs and dmepos

Research and discuss the differences and importance of : OPPS, IPPS, MPFS and DMEPOS.

  Time value of money

Time Value of Money project

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