Reference no: EM131972400

1. If you deposit money today in an account that pays 7% annual interest, how long will it take to triple your money?

2. Find the future value of an initial $300 compounded annually for 8 years at 9%?

3. Find the future value of an initial $100 compounded annually for 7 years at 3%.

4. Which of the following statements are true?

I. Because there is a limited supply of shares of any stock to be borrowed by would-be short sellers, unlimited short selling is a problematic assumption for CAPM.

II. Transaction costs continue to become smaller, so this factor is no longer considered a problem for CAPM

III. CAPM assumes that markets are efficient.

IV. One of the most important attributes of CAPM was its contribution to understanding the relationship between risk and return.

Only I, III, and IV are true

Only I and II are true.

All of the statements are true.

Only I and IV are true.

Only II, III, and IV.