What is the required rate of return on stock with beta

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1. Assume that the risk-free rate is 7% and the required return on the market is 12%. What is the required rate of return on a stock with a beta of 0.8? Round your answer to two decimal places.

2. Why do banks limit proprietary lending? Short answer please.

3. For each of the following, compute the present value: (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) Present Value Years Interest Rate Future Value $ 12 4 % $ 18,928 4 9 43,117 16 12 806,382 21 11 663,816.

Reference no: EM131851129

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