A stock has a beta of .91 and a reqard-to-risk ratio of 5.93 percent. If the riusk-free rate is 2.7 percent, what is the stock's expected return?
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A stock has a beta of .91 and a reqard-to-risk ratio of 5.93 percent. If the riusk-free rate is 2.7 percent, what is the stock's expected return?
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- The risk-free rate is 5.6%, the market risk premium is 8.5%, and the stock’s beta is 2.27. What is the required rate of return on the stock, E(Ri)? Use the CAPM equation.The risk-free rate is 5.6%, the market risk premium is 8.5%, and the stock's beta is 2.27. What is the required rate of return on the stock, E(Ri)?A stock has a beta of 1.19 and an expected return of 11.27 percent. If the risk-free rate is 3.4 percent, what is the stock's reward-to-risk ratio?
- A stock has a beta of 0.7 and an expected return of 7.3 percent. If the risk-free rate is 1.3 percent, what is the market risk premium?A stock has a beta of .89 and an expected return of 9.2 percent. If the stock's reward-to-risk ratio is 6.17 percent, what is the risk-free rate?A stock has an expected return of 10.8 percent, its beta is .97, and the risk-free rate is 6.1 percent. What must the expected return on the market be? (
- Assume that the risk-free rate is 2.8 percent, and that the market risk premium is 4.8 percent. If a stock has a required rate of return of 16.1 percent, what is its beta? Your Answer: AnswerA stock has an Expected return (Rj) = 10.2%, risk-free rate (RF) = 4.5%, market risk premium = 8.5%. Using CAPM, calculate the beta of the stock.1) The risk-free rate is 3.7 percent and the expected return on the market is 12.3 percent. Stock A has a beta of 1.1 and an expected return of 13.1 percent. Is this stock correctly priced? (underpriced or overpriced?)
- A stock has an expected return of 9.9 percent, the risk-free rate is 1.8 percent, and the market risk premium is 4.3 percent. What must the beta of this stock be?A stock's beta is 1.8 and the market risk premium is 6.6%. If the risk-free rate is 3.1%, what is the stock's risk premium? Answer:The risk-free rate of return is 3.75 percent and the market risk premium is 6.5 percent. What is the expected rate of return on a stock with a beta of .84?