What is ibm preferred stocks beta with respect to market

Assignment Help Financial Management

Reference no: EM131310179

Suppose that you own IBM preferred stock that pays an annual, fixed, and perpetual dividend of $10 which is worth $100 per share. The market return is 12% and the risk-free rate is 4%. What is IBM preferred stock's beta with respect to the market?

Reference no: EM131310179

Questions Cloud

Spray provision is included in the trust instrument : A grantor transfers $1 million to an irrevocable trust naming his three children as beneficiaries. A bank is the trustee and a spray provision is included in the trust instrument. What are the consequences of this transfer?

Discuss about the kirkpatricks taxonomy model : Discuss about the Kirkpatricks Taxonomy Model.Read the article "Apple is Beta-testing an Update that Kills Evasion Jailbreak." In the textbook, beta-testing is described as used for formative evaluation and for fine-tuning. How does the story of A..

Briefly describe three different team activities : Briefly describe three different team activities that you have experienced or observed on a team that increased team effectiveness. Explain the impact of these activities on the team

Benefits of methodology for handling criteria creep : This issue is not confined to the TCSEC, but rather is a problem universal to all evaluation technologies. Discuss the benefits and drawbacks of the CC methodology for handling criteria creep.

What is ibm preferred stocks beta with respect to market : Suppose that you own IBM preferred stock that pays an annual, fixed, and perpetual dividend of $10 which is worth $100 per share. The market return is 12% and the risk-free rate is 4%. What is IBM preferred stock's beta with respect to the market?

Explain what you think the purpose of the law is : Discussion for HR Recruit and Selection. Describe the law chosen. Explain what you think the purpose of the law is

Dollar exchange rate with the iceland krona : The Celluloid Collar Corporation has $210,000 in tax loss carryforwards. The Bowstring Shirt Company, a firm in the 30% tax bracket, would be willing to pay (on a nondiscounted basis) the sum of ______________ for the carryforward alone. Three years ..

Define a class called car that implements the interface : Define a class called "Car" that implements the parameterized Comparable interface. Each object of this class represents a type of car. Your class must provide all the methods in the public interface.

What are the values of doing formal evaluation : The issue of binding assurance requirements to functional requirements versus treating them as mutually exclusive sets has been debated over the years. Which approach do you think is preferable, and why?

User Account

All Pages