What is the sharpe ratio

Assignment Help Finance Basics
Reference no: EM13272038

A portfolio has a beta of 1.23 and a standard deviation of 11.6 percent. What is the Sharpe ratio if the market return is 12.4 percent and the market risk premium is 7.9 percent?

Reference no: EM13272038

Questions Cloud

Determine the market risk premium : The risk-free rate is 8 percent. a. What discount rate should be used to discount the estimated cash flow? (Hint: Use Columbia's cost of equity to determine the market risk premium.) b. What is the dollar value of HCA to Columbia's shareholders?
What is the probability it will rain during the weekend : A weather forecaster explains that there is 50% chance of rain on Saturday and a 50% chance of rain on Sunday. So what is the probability it will rain during the weekend
What is the density of the object : An object's true weight is 135N. When it is completely submerged in water, what is the density of the object
Explain how many grams of n2are produced in the detonation : If each mole of gas occupies 59 L under the conditions of the explosion, how many liters of gas are produced. Express your answer using two significant figures. How many grams OF N2are produced in the detonation
What is the sharpe ratio : A portfolio has a beta of 1.23 and a standard deviation of 11.6 percent. What is the Sharpe ratio if the market return is 12.4 percent and the market risk premium is 7.9 percent?
How many excess electrons does it have : A spherical water drop 2.4 µm in diameter is suspended in calm air due to a downward-directed atmospheric electric field of magnitude E = 3696 N/C.
Write the translated form of e in rectangular components : The vector field E=(B/p)ap where B is a constant,is translated such that it originates at the line ,x=2,y=0.Write the translated form of E in rectangular components
What will be the value of the company : The cost of equity is 12%. What will be the value of equity of the firm? What will be the value of the company if it has a debt of $7.5 million?
Determine a unit vector directed from q toward p : A vector field is specified as G=24xyax +12(x^2+2)ay+18z^2az.Given two points ,P(1,2,-1) and Q(-2,1,3),find :(a) G at P ;(b) a unit vector in the direction of G at Q ;(c)a unit vector directed from Q toqard P

Reviews

Write a Review

Finance Basics Questions & Answers

  Significant challenges facing the healthcare system

Determine the three most significant challenges facing the healthcare system due to changes in financial mechanisms?

  Determine the companys product or service

Suppose you are attending a managerial meeting, within your publicly held corporation, to hear a proposal for a possible corporate merger with a competitor.

  which suffers the least percentage price decline

Which bond suffers the greatest percentage price decline? Why? Which suffers the least percentage price decline? Why?

  Exchange rate between dollar and german mark

The spot exchange between U.S. dollar and German mark is $.5500/DM. The dollar deposit rate is 8% and DM deposit rate is 4%.

  Annual coupon interest rate

Outstanding bonds have a $1,000 par value and will mature in 5 years, yield to maturity is 9%-Find out the bonds's annual interest rate?

  Are the silvas entitled to any money damages

They stated that the I-beams had been added for reinforcement. The Silvas bought the house for $60,000. Soon afterward, they began to have problems with leaks, mildew, and dampness. Are the Silvas entitled to any money damages? Why or why not?

  Calculate required cash flow before tax and interest

How much will a company need in cash flow before tax and interest to satisfy debt holders and equity holders if the tax rate is 40 percent, there is a $15 million in common stock requiring an 11 percent return,

  How should mary account for the collection

She also had an $8,000 long-term capital gain last year. Her taxable income for last year was an NOL of $15,000. During the current year, she unexpectedly collected $12,000 on the debt. How should Mary account for the collection?

  How many years do these bonds have left until they mature

Backwater Corp. has 10 percent coupon bonds making annual payments with a YTM of 9.3 percent. The current yield on these bonds is 9.65 percent.

  Lessor entries-sales-type lease wadkins company

The lease is for an 8 -year period and requires equal annual payments of $38,514 at the beginning of each year. The first payment is received on January 1, 2012. Wadkins had purchased the machine during 2011 for $170,000. Compute the amount of th..

  Compute the total contribution margin

General Mills makes Wheaties, Cheerios, Betty Crocker cake mixes, and many other food products. Assume the product manager of a new General Mills cereal has estimated that the appropriate wholesale price for a carton of the cereal is $48.

  Find the book value per share

Evaluate the book value per share, find earnings per share and calculate Haley Corporation's dividend yield

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