What must the beta of this stock be

Assignment Help Accounting Basics
Reference no: EM133087848

Question - A stock has an expected return of 13.2%, the risk-free rate is 4.3%, and the market risk premium is 7.4%.

What must the beta of this stock be? Show your work.

What does beta measure? Explain your calculated result from a).

Reference no: EM133087848

Questions Cloud

Prepare the journal entries to record interest received : Prepare the journal entries to record interest received and interest income on December 31, 2022, and the maturity of the bond
What is the probability that your grandfather will be alive : The table indicates that there will be 60,276 eighty (80) year old men still alive. What is the probability that your grandfather will be alive in 5 years
Prepare all necessary journal entries on Ayayai Corp books : Ayayai Corp. sold to Blossom Company merchandise having a sales price of $8,000, terms 2/10, n/60. Prepare all necessary journal entries on Ayayai Corp books
Calculate the value of the ending finished goods inventory : The company had no beginning inventory and they produced 60,000 units during 2021 and sold 55,000 units. Calculate the value of ending finished goods inventory
What must the beta of this stock be : A stock has an expected return of 13.2%, the risk-free rate is 4.3%, and the market risk premium is 7.4%. What must the beta of this stock be
What is the effective annual interest rate : Western Union has grated GAMING Ltd a line of credit that allows it to borrow up to $50 million at any time. What is the effective annual interest rate
Prepare the adjusting journal entry to record the interest : Prepare the adjusting journal entry to record the interest owed at the end of the accounting period on December 31, Year 1
What is the value of the policy to the insurance company : Upon further research, you find that the expected value of each policy is $255. What is the value of the policy to the insurance company
What is the total cost : When 10,000 units are produced, the total cost is $120,000 and the unit fixed cost is $4. What is the total cost when 8,000 units are produced

Reviews

Write a Review

Accounting Basics Questions & Answers

  Inman manufacturing company makes a product that it sells

inman manufacturing company makes a product that it sells for 60 per unit. the company incurs variable manufacturing

  Create the amortization table

Create the Amortization table through the life of the bond in the excel. Please also indicate all the necessary data, such as rate

  How many units does the company need to sell

Last year a company had an operating income of $500,000. How many units does the company need to sell this year in order to breakeven?

  Calculate shipley current and deferred tax expense

Assuming no uncertainties exist regarding Shipley's ‘tax positions,' calculate Shipley's current and deferred tax expense for the year and record current.

  What is Adrianna basis in her partnership interest

How much gain or loss, if any, does Adrianna recognize on the distribution to Isabel? What is Adrianna's basis in her partnership interest the distribution

  Discuss potential problems creates and propose alternative

The commingling of legal and contingent liabilities exists under current GAAP accounting. Discuss potential problems this creates and propose alternatives

  What is Susan QBI deduction

In 2020, the business pays $100,000 in W-2 wages, has $150,000 of qualified property, What is Susan QBI deduction

  Prepare summary journal entries to record requisition slips

Prepare summary journal entries to record (1) the requisition slips, (2) the time tickets, (3) the assignment of manufacturing overhead to jobs

  Post entries to the two accounts and determine the balances

Enter the January 1, 2017, balances in Accounts Receivable and Allowance for Doubtful Accounts, post the entries to the two accounts and determine the balances

  Shuck inc bases its manufacturing overhead budget on

shuck inc. bases its manufacturing overhead budget on budgeted direct labor-hours. the direct labor budget indicates

  Sales revenue 420000 cost of goods sold 300000 salaries

the following selected account balances were taken from buckeye companys general ledger at january 1 2005 and december

  Describe an adjusting journal entry

Adjusting entries are made in order properly follow GAAP. Describe an adjusting journal entry that is needed at the end of an accounting period

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