subject
Business, 16.12.2020 16:40 dondre54

The risk-free rate and the expected market rate of return are 0.06 and 0.12, respectively. According to the capital asset pricing model (CAPM), the expected rate of return on security X with a beta of 1.2 is equal to:. A. 0.06.
B. 0.144.
C. 0.12.
D. 0.132
E. 0.18
E(R) = 6% + 1.2(12 - 6) = 13.2%

ansver
Answers: 3

Another question on Business

question
Business, 21.06.2019 22:40
The vaska company buys a patent on january 1, year one, and agrees to pay $100,000 per year for the next five years. the first payment is made immediately, and the payments are made on each january 1 thereafter. if a reasonable annual interest rate is 8 percent, what is the recorded value of the patent? 1. $378,4252. $431,2133. $468,9504. $500,000
Answers: 3
question
Business, 22.06.2019 09:30
Which of these is not a result of regular exercise
Answers: 1
question
Business, 22.06.2019 15:00
Match the terms with the appropriate definition. 1. work done for pay job 2. series of related jobs based on knowledge, training, tasks performed, interests, and experience career 3. buying or selling products and services using the internet mediation 4. wage amount after deductions are withheld net wage 5. a way a person chooses to live his or her life e-commerce 6. the people who are both able and willing to work technology 7. unequal treatment of others based on a bias concerning a person’s characteristics such as race, religion, gender, or age discrimination 8. the act of sharing information lifestyle 9. the use of a third party to make suggestions workforce 10. knowledge and tools used to perform tasks communication
Answers: 2
question
Business, 22.06.2019 20:10
Your sister is thinking about starting a new business. the company would require $375,000 of assets, and it would be financed entirely with common stock. she will go forward only if she thinks the firm can provide a 13.5% return on the invested capital, which means that the firm must have an roe of 13.5%. how much net income must be expected to warrant starting the business? a. $41,234b. $43,405c. $45,689d. $48,094e. $50,625
Answers: 3
You know the right answer?
The risk-free rate and the expected market rate of return are 0.06 and 0.12, respectively. According...
Questions
question
Mathematics, 08.12.2020 19:30
question
Mathematics, 08.12.2020 19:30
question
Mathematics, 08.12.2020 19:30
question
Mathematics, 08.12.2020 19:30
question
Mathematics, 08.12.2020 19:30
question
Biology, 08.12.2020 19:30
question
History, 08.12.2020 19:30
Questions on the website: 13722361