What is the expected return on the market be

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1. A credit card had an APR of 21.99% which is compounded daily. If you spend 10,000 using this credit card. How much will you have to pay in 1 year to settle your account. How much interest rate would you have effectively paid?

2. A stock has an expected return of 16%, beta is 1.25, and risk free rate is 6%. What is the expected return on the market be?

3. Betty wants to save for her retirement in twenty five years and feels she will need $750,000 in retirements savings to live comfortably. With an expected return of 6% on her investments, how much will Betty need to save each year to reach her goal of $750,000?

Reference no: EM132022914

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