Examining the econmic probabilities

Assignment Help Finance Basics
Reference no: EM131971986

Question: The expected return on a stock computed using economic probabilities is:

A. guaranteed to equal the actual average return on the stock for the next five years.

B. guaranteed to be the minimal rate of return on the stock over the next two years.

C. a mathematical expectation based on a weighted average and not an actual anticipated outcome.

D. guaranteed to equal the actual return for the immediate twelve month period.

E. the actual return you should anticipate as long as the economic forecast remains constant.

Reference no: EM131971986

Questions Cloud

Evidence to conclude that the average score : If the national average was 600, is there enough evidence to conclude that the average score has decreased? Use a p-value and 5% significance.
Compute the profit margin for each division : Division A has a profit of $230,000 on sales of $2,120,000. Division B is able to make only $34,700 on sales of $381,000.
Determine the total purchases on account during september : During September, the company paid total cash of $13,275 on accounts payable. Determine the total purchases on account during September.
What amount should be included in the project analysis : What amount should be included in the project analysis for the last year of the project in regards to the net working capital?
Examining the econmic probabilities : The expected return on a stock computed using economic probabilities is: guaranteed to equal the actual average return on the stock for the next five years.
Confidence intervals are used in the real world : Give several examples of when confidence intervals are used in the real world. Be sure to include the confidence interval that would need to be calculated
What coupon rate would it have to set in order to issue : If Lourdes plans to raise additional capital and wants to use debt financing, what coupon rate would it have to set in order to issue new bonds at par?
Create the journal entry to record the impairment : Rohan Company purchased equipment in January 2008 for $8,000,000. Create the journal entry (if any) to record the impairment at December 31, 2010.
Prepare a brief analysis report on the description of IAM : IT write-up Test Assignment - As a first step, CISO asks you, one of the Security Managers, to prepare a brief analysis report on the description of IAM

Reviews

Write a Review

Finance Basics Questions & Answers

  Financial reporting and analysis

Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..

  A report on financial accounting

This report is specific for a core understanding for Financial Accounting and its relevant factors.

  Describe the types of financial ratios

Describe the types of financial ratios and other financial performance measures that are used during venture's successful life cycle.

  Differences between sole proprietorship and corporation

Briefly describe the major differences between a sole proprietorship and a corporation

  Prepare a cash budget statement

Calculate the expected value of the apartment in 20 years' time. What is the mortgage loan repayment at the beginning of each month

  What are the implied interest rates

What are the implied interest rates in Europe and the U.S.?

  State pricing theory and no-arbitrage pricing theory

State pricing theory and no-arbitrage pricing theory

  Small business administration

Identify the likely stage for each venture and describe the type of financing each venture is likely to be seeking and identify potential sources for that financing.

  Effect of financial leverage

The Effect of Financial Leverage and working capital management

  Evaluate the basis for the payment to the lender

Evaluate the basis for the payment to the lender and basis for the payment to the company-counterparty.

  Importance of opps, ipps, mpfs and dmepos

Research and discuss the differences and importance of : OPPS, IPPS, MPFS and DMEPOS.

  Time value of money

Time Value of Money project

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