What is the expected return on the market

Assignment Help Finance Basics

Reference no: EM13271924

The stock of United Industries has a beta a 1.26 and an expected return of 11.4. The risk-free rate of return is 4 percent. What is the expected return on the market? HINT: Use the Security Market Line.

A. 7.4
B. 8.41
C. 8.32
D. 9.87
E. 12.06

Reference no: EM13271924

Questions Cloud

Compute the final pressure of the gas : 0.60mol of argon gas is admitted to an evacuated 70cm3 container at 10 ?C. The gas then undergoes an isochoric heating to a temperature of 500 ?C. compute the final pressure of the gas

Explain the hydrolysis of camp by phosphodiesterase : For some enzyme reactions (for example, the hydrolysis of cAMP by phosphodiesterase in vertebrate retinal cones)the enzyme is present in large quantities,so that e0/s0 is not a small number.Fortunately,there is an alternate derivation of the Micha..

Find the location and characterize the image fully : An object is placed 40 cm from a concave mirror of radius 20 cm. Trace the image, show and find the location and characterize the image fully

Find how much charge moves through the element : Over a period of 10 seconds, how much charge moves through the element. If electrons carry the charge, which terminal do they enter. How much energy os transferred. Is it delevired to the element or taken from it.

What is the expected return on the market : The stock of United Industries has a beta a 1.26 and an expected return of 11.4. The risk-free rate of return is 4 percent. What is the expected return on the market? HINT: Use the Security Market Line.

Endorsement of the principle of liberty : John stuart Mill is sometimes critized on the ground that his endorsement of the principle of UTILITY is in consistent with the endorsement of the principle of liberty.

Explain the molarity and osmolarity of a 1 liter solution : What is the molarity and osmolarity of a 1 liter solution with .2 moles of calcium chloride. How many molecules of chloride are dissolved in solution

Compute the net work done on the car : The driver of a 1550 kg car, initially traveling at 12.1 m/s, applies the brakes, bringing the car to rest in a distance of 19.5 m. Find the net work done on the car

Explain to grace and suamuel the guidelines of leasing : Explain to grace and suamuel the guidelines of leasing and whether or not it is a smart financial move for them to consider. would they be better off with a closed-end or open-end lease? From a purely financial perspective, would you recommentd le..

User Account

All Pages