Reference no: EM131049299
You’ve observed the following returns on Hacker Corporation’s stock over the past five years: -25%, 36%, 9%, 11%, and 17%. Answer the following questions.
What is the arithmetic average return on the stock over this five-year period?
a. 8.8% b. 9.6% c. 10.7% d. 9.2%
What is the variance of returns over this period?
a. 0.04878 b. 0.06684 c. 0.05797 d. 0.07432
What is the standard deviation of returns over this period?
a. 22.09% b. 24.12% c. 26.89% d. 20.35% Suppose the current T-bill rate is 0.15%.
What is the risk premium of owing Hacker Corporation s stock?
a. 9.45% b. 8.10% c. 9.75% d. 11.10%
What range of returns would you expect to see 95% of the time?
a. -12.49% to 31.69% b. 9.6% to 22.09% c. -56.66% to 75.86% d. -34.57% to 53.77%
What is the geometric average return on the stock over this five-year period?
a. 9.60% b. 6.35% c. 8.49% d. 7.62% 1 points Save Answer According to the Blume's formula, what is the 2-year average return forecast?
a. 7.62% b. 9.11% c. 8.57% d. 9.60%
|
Write term paper about information technology strategic plan
: Write a term paper about Information Technology Strategic Plan. Imagine that a company has recently hired you as a senior business consultant. The company is seeking to gain better traction with regard to customer satisfaction and loyalty.
|
|
Bodily injury arising out of sexual molestation
: FACTS Alberto and Karelli Mila were insured under a homeowners' liability policy. The policy, in "exclusion k," stated that coverage did not apply to "bodily injury arising out of sexual molestation, corporal punishment or physical or mental abuse..
|
|
Marginal revenue product of the second worker
: If the marginal product of the second worker hired by a firm is 14 units and the price of a unit of output is $7 regardless of the quantity of output sold, then the marginal revenue product of the second worker is?
|
|
Banking system using the simple deposit multiplier
: Suppose the reserve requirement is 4%. If the Fed buys $1 million in bonds from the First National Bank, what is the total deposit creation in the banking system using the simple deposit multiplier?
|
|
What is the variance of returns over this period
: You’ve observed the following returns on Hacker Corporation’s stock over the past five years: -25%, 36%, 9%, 11%, and 17%. Answer the following questions. What is the arithmetic average return on the stock over this five-year period? a. 8.8% b. 9.6% ..
|
|
What is the growth rate of money
: The real growth in the output of the economy is +1.5%, inflation is 2.0%, what is the growth rate of money (the velocity of money is constant? What would happen if velocity was increasing by 1% What would make it increase?
|
|
How much can you withdraw each month from your account
: You are planning to save for retirement over the next 25 years. To do this, you will invest $700 a month in a stock account and $300 a month in a bond account. The return of the stock account is expected to be 9.0 percent, and the bond account will p..
|
|
A list of assets provided by the advertising
: Video Question To watch this chapter's video, Accountant's Liability, go to www.cengagebrain.com. Register the access code that came with your new book or log in to your existing account. Select the link for the "Business Law Digital Video Library..
|
|
Fine the company for damages
: The local and then the state government each take actions to clean up the site and to fine the company for damages. Which of the following would be a potential positive externality for the national environment?
|