One way to calculate a stocks beta

Assignment Help Financial Management
Reference no: EM13725090

One way to calculate a stock's beta is to

a. calculate the stock's coefficient of variation.

b. calculate both the stock's mean return and the std.dev. of the returns.

c. regress the stock's past returns against the risk-free rate.

d. regress the stock's past returns against past market return.

e. draw a trend line using past measures of the stock's beta.

Reference no: EM13725090

Questions Cloud

Genetic engineering (ge) has attracted much controversy : In its short history, genetic engineering (GE) has attracted much controversy. Proponents of GE claim humans have no choice but to develop it for solving problems related to overpopulation, including environmental degradation; critics charge t..
Description of the npo : A brief description of the NPO you selected and the issue or dilemma it faces. Then explain who in the organization might address the issue or dilemma and how it could be resolved or could have been prevented.
What will be the price of the one share : The Know-It-All Co. is a new firm in a rapidly growing industry. The company is planning on increasing its annual dividend by 20% a year for the next 4 years and then decreasing the growth rate to 5% per year. The company just paid its annual dividen..
The internet helpful and did it assist in accomplishing task : Was the information you received on the internet helpful and did it assist you in accomplishing your task? For assistance in the future, would you return to this website? Why or why not
One way to calculate a stocks beta : One way to calculate a stock's beta is to
Total assets and accounts payable are proportional to sales : At year-end 2013, Wallace Landscaping total assets were $1.0 million and its accounts payable were $350,000. Sales, which in 2013 were $2.5 million, are expected to increase by 25% in 2014. Total assets and accounts payable are proportional to sales,..
Methods for establishing base pay : Evaluate the following methods for establishing base pay in international assignments: home country-based pay, headquarters-based pay, and host country-based pay.
What do you find remarkable about the era of progressivism : What do you find remarkable about the era of Progressivism? Describe three particular leaders or movements and show how they help define this time period. How did the Progressives shape the society we live in today?
Pay and benefits practices : Select one country whose pay and benefits practices and compare them to pay and benefits practices used in the United States. Include in your discussion how these practices are similar and how they are different.

Reviews

Write a Review

Financial Management Questions & Answers

  Determine the beta of one security by regressing the returns

Determine the beta of one security by regressing the returns for the share on the returns for the FT ALL Share Index and determine the co-variances for each pair of securities in the portfolio

  Why is developing a financial plan an important part of the

nbsp1. library research - provide 2 companies that have differentiated between cash and profits. how did the approach

  Questionthree months after having completed the supply and

questionthree months after having completed the supply and commissioning of capital equipment to approval of a public

  Book value of the shareholders ownership is represented

The book value of the shareholders' ownership is represented by:

  What is the firms after-tax component cost of debt

A company's 8% coupon rate, semi-annual payment, $1,000 par value bond that matures in 20 years sells at a price of $593.17. The company's federal-plus-state tax rate is 30%. What is the firm's after-tax component cost of debt for purposes of calcula..

  A call option has a value of c 5 and a put has a value of

a call option has a value of c 5 and a put has a value of p 3.nbsp both options have an exercise price of x 20. the

  Financial analysis

Uses historical financial statements to measure a company's performance and in making financial projections of future performance Relies on generally accepted accounting principles to make comparisons between companies valid. uses historical financia..

  What is the total after-tax operating cash flow for year

What is the upfront total after-tax cash cost for this proposed project? What are the Total Annual Free Cash Flows for Year 1? Year 2? Year 3? What is the Total After-Tax Operating Cash Flow for Year 5 (exclude Terminal Year-specific items)? What is ..

  Bond outstanding with an annual coupon rate

General Mills has a $1,000 par value, 12-year bond outstanding with an annual coupon rate of 3.60 percent per year, paid semi-annually. Market interest rates on similar bonds are 12.70 percent. Calculate the bond's price today.

  Maximization of shareholder wealth

Maximization of shareholder wealth

  Question 1nbsp allen air lines must liquidate some

question 1nbsp allen air lines must liquidate some equipment that is being replaced. the equipment originally cost 12

  Why do bubbles and bursts occur in financial markets in

why do bubbles and bursts occur in financial markets? in discussing this issue you need to focus on the rationality of

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