Problem 11-15 Using CAPM A stock has an expected return of 10.5 percent, a beta of 1.55, and the expected return on the market is 8.5 percent. What must the risk-free rate be? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.G., 32.16.)

Answers

Answer 1

Answer:

the risk free rate of return is 4.86%

Step-by-step explanation:

The computation of the risk free rate is shown below;

As we know that

Expected return = Risk free rate of return + Beta × (Market rate of return - risk free rate of return)

10.5% = Risk free rate of return + 1.55 × (8.5% - Risk free rate of return)

10.5% = Risk free rate of return + 13.175% - 1.55 Risk free rate of return

10.5% - 13.175% = -0.55 risk free rate of return

-2.675% = -0.55 risk free rate of return

So, the risk free rate of return is

= 2.675% ÷ 0.55

= 4.86%

Hence, the risk free rate of return is 4.86%


Related Questions

Write the equation you would use to solve for X. Then solve.​

Answers

Answer:

Step-by-step explanation:

Do a calculation

Help me please I’d really appreciate it right now .

Answers

Answer:

sales tax is $0.6

total cost is $20.60

Step-by-step explanation:

20*0.03=0.6

20*1.03=20.6

AMONG US CODE: BZPINF

Answers

it didn’t work, i think i’m a little late tho
Do another one pls I am the person from the game

Please help me solve this answer.

Answers

Answer:

1 hour 2 min 20 sec

Step-by-step explanation:

Given

6 min video ⇒ 17 min upload

Upload time of 1 min video

1 min video ⇒ 17/6 min upload

Time to upload of 22 min video

22 min video ⇒ 22*17/6 = 62 1/3 min = 1 hour 2 min 20 sec upload

Please answer !!!!!!!!!!!! Will mark Brianliest !!!!!!!!!!!!!!!!

Answers

Answer:

x = 55 degrees

Step-by-step explanation:

180 - 164 = 16. 16 + 109 = 125. A triangle's angles should add up to 180, so to find the value of x, subtract 180 by 125 and you'll get 55.

Answer:55

Step-by-step explanation:

Steps below

Write a logarithmic function that represents the following transformations applied to the parent function: Reflection over the y-axis, a vertical stretch by a factor of (5/3) a transformation right 2 units, and a transformation down 6 units.

Answers

Answer:

Original function;

y = logbX

Transformation;

y = -5/3logb(x + 2) - 6

Step-by-step explanation:

General form of a logarithmic function is given below;

y = logb X (log to base b)

Reflection over the y-axis

y value remains same, x becomes negative

y = - logb X

Vertical stretch by a factor of 5/3

This means that we multiply the whole function by 5/3

That will be;

y = -5/3logbX

Transformation right 2 units

This means that we add the value of 2 to the x-axis value

y = -5/3logb(x + 2)

transformation down 6 units

This means that we subtract 6 from the total y value

y = -5/3logb(x + 2) - 6

solve for x. x2-3[x-2]-4x=​

Answers

-5x+6
....................................

a conical tank with vertex down is 10 feet across the top and 12 feet deep. If water is flowing out of the tank at a rate of 12 cubic feet per minute, find the rate at which the water level is dropping when radius of water level is 4ft.

Answers

Answer:

The water level is dropping at a rate of 0.24 ft/s

Step-by-step explanation:

Here, we simply want to calculate the change in depth (height of the cone) , given the volume change

Mathematically, we have the volume of a cone as;

V = 1/3 * π * r^2 * h

we are given dv/dt as 12 ft^3/m

dv/dh = 1/3 * π * r^2

Substituting the value for the radius, we have

dv/dh = 1/3 * 22/7 * 4^2 = 50.29

dh/dt = dh/dv * dv/dt

dh/dv = 1/(dv/dh) = 1/50.29

Thus,

dh/dt = 1/50.29 * 12

dh/dt = 0.24 ft/s

​Yesterday, Grace drove 44 1/2 miles. She used 1 1/4 gallons of gasoline. What is the unit rate for miles per​ gallon?

Answers

Answer:

35.6 miles per gallon.

I'm not sure but good luck :)

Step-by-step explanation:

Answer:

Just realized I gave you the wrong answer. Here's the right one below:

Step-by-step explanation:

(44 1/2)/(1 1/4)

(89/2)/(5/4)

(89/2)(4/5)

178/5

35 3/5 mpg

Sorry about that! :)

If you have two 6-sided dice, each with the numbers 1-6 on a side, what is the theoretical probability of rolling 3 and 3 when both die are rolled together?

Answers

Answer:

The probability is 1/36

Step-by-step explanation:

Since we have two dies rolled together, the sample space is 36

What we mean by the sample space is the number of total possible results

So the total number of results that we can get is 36

Out of all our result, 3,3 can only appear once

so the probability of getting 3,3 on both dice is 1/36

Answer:

1/36

Step-by-step explanation:

-8d-5d+7d=72 can you help me figure out d

Answers

Answer:

d = -12

Step-by-step explanation:

Add -8 -5 +7

take that number : -6

72 divided by -6 = -12

d = -12

please solve thisss​

Answers

Answer:

1,570

Step-by-step explanation:

10×2=20

20×3=60

30×5=150

40×7=280

50×4=250

60×3=180

70×8=630

Now,

20+60+150+ 280 +250+ 280+ 630=1,570

this is the answer

Answer:

[tex] \huge{ \boxed{ \bold{ \tt{45.31}}}}[/tex]

❀ Explanation :

✑ Let's Know about A.M ( Arithmetic Mean )

In statistics , a single number can be calculated from a group of data which shows the character of the whole data. This number is called the average of the while data. An average is also called the arithmethic mean or simply mean which is a measure of central tendency.

To calculate the average of the given type of data ( discrete series )  , follow the steps given below :

Make the table of 3 columns .Write down the items or observations ( x ) in the first column in ascending order and the corresponding frequency ( f ) in the second column.Multiply the data ( x ) by their corresponding frequency ( f ) and write down the product in third column of fx.Find the sum of f - column and fx - column separately.Divide the sum of fx by the sum of f , the quotient so obtained is the required mean.

Remember :

[tex] \underline{ \boxed{ \sf{mean \: = \frac{Σfx}{Σf} \: or \: \frac{Σfx}{n}}}} [/tex]

Where , Σf = N = Sum of the frequency and the symbol ' Σ ' ( sigma ) means " summation of " .

( See the workings in attached picture )

Hope I helped!

♪ Have a wonderful day / night ツ

~~

what is the answer to 7x8(8/2)

Answers

Answer:

224

Step-by-step explanation:

1. first divide 8/2 in the parentheses which will give you 4

2. Then multiply 4 to 8 which will give you 32

3. finally multiply 32 to 7 which will give you an answer of 224

There are 27 students in Mrs. Augello’s math class. The number of boys is three less than the number of girls. Write a system of equations that represents the number of boys and girls.

Answers

Answer:

x + y = 27

y = x - 3

Step-by-step explanation:

x = # of girls

y = # of boys

first there are a total of 27 students so # of girls plus # of boys has to be 27.

then number of boys is 3 less than number of girls. This means x - 3 = y or y = x-3

please click heart to give thanks :)

x is the amount of girls and y is the amount of boys

the system of equations would be
y=x-3
x+y=27

mark me brainliest if the answer is correct, thank you in advance :)

Use the polygon on the coordinate plane to complete the statements. This polygon is a The length of side RV The length of side ST ​

Answers

Answer:

pentagon

is 14 units

cannot be determined

Step-by-step explanation:

Answer:

Step-by-step explanation:

Use the polygon on the coordinate plane to complete the statements. This polygon is a The length of - Brainly.com

yw thanks for the points have a nice day :}

There are 2.54 centimeters in 1 inch. There are 100 centimeters in 1 meter.

To the nearest meter, how many meters are in 474 inches?

Answers

12.04 meters is 474 inches so 12 would be closest

Use the Pythagorean Theorem to find the length of the hypotenuse in the triangle shown below.
16
30

Answers

Answer:

the answer is 34.

Step-by-step explanation:

the Phythagorean theorem is a^2 + b^2 = c^2.

I hope this helped and if it did I would appreciate it if you marked me Brainliest. thank you and have a nice day!

Which statement about 272° is correct?

A. tan 272° < 0
B. sin 272° > 0
C. cos 272° < 0

Answers

Answer:

tan 272 < 0 is the correct answer

Step-by-step explanation:

Firstly, we need to understand the quadrant in which we have the angle

Mathematically, angle 272 is on the 4th quadrant

On the 4th quadrant, only the cosine value is positive, sine and tangent values are negative

Hence, we have that tan 272 < 0

is the correct answer

Answer: A. tan 272° < 0

Step-by-step explanation:

Ap3x Approved

PLEASE ILL GIVE 40 POINTS!!! How do the magnetic and electrical components of electromagnetic waves travel in relation to each other?

at right angles
toward each other
in a circular motion
parallel to each other

Answers

Answer:

at right angles

Step-by-step explanation:

Use the order of operations to simplify 5(3 1/5 + 2 4/5) - 0.6.

A. 29.4
B. -16
C. 23 2/5
D. 30.6​

Answers

Answer:

A.  29.4

Step-by-step explanation:

5(3 1/5 + 2 4/5) - 0.6

5(6) - 0.6                                      parenthesis

30 - 0.6                                        multiplication

29.4                                              subtraction

The answer is A. 29.4!!!

Katherine has a $10 gift certificate
for an online store. She chose a pair
of shoes that cost $32.78, and a
dress that cost $27.24. Shipping is
$5.22. If she uses her gift certificate,
what amount will she need to pay?

Answers

Answer:

Katherine will pay $55.24.

Step-by-step explanation:

32.78 + 27.24 + 5.22

= 65.24

65.24 - 10

= 55.24

Katherine will pay $55.24.

I hope this helped and if it did I would appreciate it if you marked me Brainliest. Thank you and have a nice day!

find the missing side length ​

Answers

Answer:

The length of the missing side is

[tex]4 \sqrt{5} \\ if \: you \: want \: it \: not \: simplified \: it \: would \: be \: \\ \sqrt{80} [/tex]

Step-by-step explanation:

You could do Pythagorean theorem which is:

[tex] {a}^{2} + {b}^{2} = {c}^{2} \\ {8}^{2} + {4}^{2} = {c}^{2} \\{64} + {16} = {c}^{2} \\ \sqrt{80} = {c}^{2} \\ 4\sqrt{5} = c[/tex]

What is the value of the expression below when z=3 and w =2
10z+ 5w

Answers

10(3) + 5(2)

30 + 10

40

40 is your answer!
10 x 3 = 30

5 x 2 = 10

10+30= 40

The answer is 40

f(x)=5x−3 evaluate the function

Answers

if x=2. 5x2=10. 10-3=7. if input 2,output 7

What is the sum of the interior angles of a 14 sided polygon?

Answers

Answer:

2160 degrees

Step-by-step explanation:

The general equation to find the sum of interior angles in a polygon is;

[tex](n - 2) * 180[/tex]

Where "n" is the sides of the polygon.

Substitute in 14 for "n"

( 14 - 2 ) * 180

Solve;

( 14 - 2 ) * 180

12 * 180

2160

The formula for calculating the sum of interior angles is ( n − 2 ) × 180 ∘ where is the number of sides. All the interior angles in a regular polygon are equal.

Therefore we do (14-2)*180 which is 2160 degrees .

What is the area???????

Answers

Answer: 56mm

Step-by-step explanation:

A=(a+b)/2 x h

A=(4+12)/2 x 7

A=16/2 x 7

A=8 x 7

A= 56mm

Simplify. Use the distributive
property and combining like terms to
simplify each expression.
7. 5x + 2(x – 3),

Answers

Answer:

7x - 6

General Formulas and Concepts:

Pre-Algebra

Distributive Property

Algebra I

Combining Like Terms

Step-by-step explanation:

Step 1: Define

5x + 2(x - 3)

Step 2: Simplify

Distribute 2:                    5x + 2x - 6Combine like terms:       7x - 6

Combining like terms is a process where you combine the terms with the same variable and/or exponent.

Let's say that we have an expression 3p + 3q. We can't combine the like terms, because 3p and 3q have different variables.

Now, what is the distributive property?

The distributive property is a property used for multiplying a monomial by a binomial or trinomial by "distributing" the monomial. The distributive property has a formula, which is:

[tex]\sf{a(b+c)=ab+ac}[/tex]

Here, a got multiplied by b and c.

Similarly, we combine the terms:

[tex]\sf{5x+2(x-3)}[/tex]

Simplify:

[tex]\sf{5x+2x-6}[/tex]

Combine like terms:

[tex]\sf{7x-6}[/tex]

Hence, the simplified answer is 7x - 6.

7. Where is most of the Earth’s supply of water found?
A. in rivers
B. in lakes
C. in glaciers and icecaps
D. in the ground

Answers

This is approx values. So out of these options you’d say, in glaciers and icecaps.

Ocean water: 97.2 percent
Glaciers and other ice: 2.15 percent
Groundwater,: 0.61 percent
Fresh water lakes: 0.009 percent
Inland seas: 0.008 percent
Soil Moisture: 0.005 percent
Atmosphere: 0.001 percent
Rivers: 0.0001 percent.

(y - 4) (5y + 6) = 0
Find the solutions

Answers

Answer:

Y=4,-5/6

Step-by-step explanation:

Answer:

1. y=4

2. y= -6/5

Step-by-step explanation:

is 0.01 less than 0​

Answers

Answer:

no

Step-by-step explanation:

No 0.01 is not less than 0

Because 0 means nothing

And

0.01 means have something

So

0.01>0

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If the adult dosage of medicine is 180 mg what is the 1/3 of the adult dose show the work Write a function called no_you_pick. no_you_pick should have two parameters. The first parameter is a dictionary where the keys are restaurant names and the values are lists of attributes of those restaurants as strings, such as "vegetarian", "vegan", and "gluten-free".##The second parameter is a list of strings representing of necessary attributes of the restaurant you select.##Return a list of restaurants from the dictionary who each contain all the diet restrictions listed in the list, sorted alphabetically. If there are no restaurants that meet all the restrictions, return the string#"Sorry, no restaurants meet your restrictions". Types of diet restrictions that exist in this question's universe are: vegetarian, vegan, kosher, gluten-free, dairy-free##For example:#grading_scale = {"blossom": ["vegetarian", "vegan", "kosher", "gluten-free", "dairy-free"], \# "jacob's pickles": ["vegetarian", "gluten-free"], \# "sweetgreen": ["vegetarian", "vegan", "gluten-free", "kosher"]}#guests_diet = ["dairy-free"]#no_you_pick(grading_scale, guests_diet) -> ["blossom"]#Write your code here!def no_you_pick(restaurants, preferred_diet): result = [] for i in preferred_diet: for key, value in restaurants.items(): # print(value) if i in value: result.append(key) result.sort() return result return "Sorry, no restaurants meet your restrictions"#Below are some lines of code that will test your function.#You can change the value of the variable(s) to test your#function with different inputs.##If your function works correctly, this will originally#print: blossomgrading_scale = {"blossom": ["vegetarian", "vegan", "kosher", "gluten-free", "dairy-free"], \ "jacob's pickles": ["vegetarian", "gluten-free"], \ "sweetgreen": ["vegetarian", "vegan", "gluten-free", "kosher"]}guests_diet = ["dairy-free"]print(no_you_pick(grading_scale, guests_diet))**My code doesn't seem to work, any help with it I'll really appreciate it!** 8x 4y = 16 3x + 15y = 6 What do you do when you analyze a multimedia story? 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