What is the required rate of return on stock with beta

Assignment Help Financial Management
Reference no: EM131960294

Required rate of return

Assume that the risk-free rate is 6.5% and the expected return on the market is 12%. What is the required rate of return on a stock with a beta of 0.4? Round your answer to two decimal places.

%

Reference no: EM131960294

Questions Cloud

Discuss environmental influences for infants and toddlers : Discuss environmental influences on early cognitive development for infants and toddlers. What are notable differences for at-risk infants and toddlers?
What is the bond current market price : Callaghan Motors' bonds have 21 years remaining to maturity. What is the bond's current market price?
What is the budgeted cost of goods manufactured for the year : Consider Derek's budget information: materials to be used total $64,750; What is the budgeted cost of goods manufactured for the year
What happens when you run the program : Your results; what happens when you run it? This could be a printout, one or more screenshots, something to show that it works.
What is the required rate of return on stock with beta : Assume that the risk-free rate is 6.5% and the expected return on the market is 12%. What is the required rate of return on a stock with a beta of 0.4?
How dependent is the budgeting process on the sales budget : How dependent is the budgeting process on the Sales Budget? Was there any way they could have spotted "trouble"
Whereby the owners control the firm management : Who owns a corporation? Describe the process whereby the owners control the firm’s management.
Expected and required rates of return : Expected and required rates of return
Do you believe that marijuana used for medicinal purposes : Do you believe that marijuana should be allowed to be used for medicinal purposes? Explain your reason. 200 words or more.

Reviews

Write a Review

Financial Management Questions & Answers

  Foreign company acquisition

Acquisition by a foreign company and the effects of that decision and the results of foreign exchange in Euro and the exchange rate differences.

  Financial management for profit and non profit organizations

In this essay, we are going to discuss the issues of financial management in a non-profit organisation.

  Method for estimating a venture''s value

Evaluate venture's present value, cash and surplus cash and basic venture capital.

  Replacement analysis

This document show the Replacement Analysis of modling machine. Is replacement give profit to company or not?

  Business finance task - capital budgeting

Your company is considering using the payback period for capital-budgeting. Discuss the advantages and disadvantages of this technique.

  Analysis of the investment

In this project, you will focus on one of these: the additional cost resulting from the purchase of an apple press (a piece of equipment required to manufacture apple juice).

  Conduct a what-if analysis

Review the readings and media for this unit, including the Anthony's Orchard case study media. Familiarise yourself with the Anthony's Orchard company and its current situation.

  Determine operational expenditures

Organisations' behaviour is guided by financial data. In the short term, such data will help determine operational expenditures; in the long term, historical data may help generate forecasts aimed at determining strategic plans. In both instances.

  Personal financial management

How much will you have left over each half year if you adopt the latter course of action?

  Sources of finance for expansion into new foreign markets

A quoted company is considering several long-term sources of finance for expansion into new foreign markets.

  Long term financial planning

This assignment is designed for analyze Long term financial planning begins with the sales forecast and the key input in the long term fincial planning.

  Explain the role of fincial manager

This assignment explain the role of fincial manager, function of manger. And what are the motives of financial manager.

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