### What is the expected return of investing in company a

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1. Company A has a beta of 2.77. Company B has a beta of .73. Company C has a beta of .90. The risk free rate is 6% and the market risk premium is 4%. What is the expected return of investing in Company A?

2. Your stock portfolio consists of only two stocks. You have \$115,000 in Company A and \$125,000 in Company B. Company A has an actual return of -8% and Company B has a return of 12%. What is the return on your portfolio? Show your work.

3. A company has a capital structure of 40% debt and 60% equity. The YTM on the company's bonds is 9%, and the company's effective tax rate is 40%.  The cost of equity is 13%. What is the company's WACC? Show your work.

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Format requirement: Please submit your assignment in PDF or WORD format online. The whole assignment must not exceed 10 pages in length, with 1.5 line spacing, 12-point Times

Suppose that you are the CFO of a firm contemplating a stock repurchase next quarter. You know that there are many methods of decreasing the current quarterly earnings,