Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. a stock has a beta of 1.1 and an expected return o

A stock has a beta of 1.1 and an expected return of 9.9 percent. A...

90.2K

Verified Solution

Question

Finance

A stock has a beta of 1.1 and an expected return of 9.9 percent. A risk-free asset currently earns 3.5 percent. If a portfolio of the two assets has an expected return of 7 percent, what is its beta? (Do not round intermediate calculations. Round your answer to 2 decimal places.)

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

Find the mean for the following group of data items 59 56 58 51 56...

Basic Math
Q

9 A lift is moving with velocity 10 m s upward with acceleration 5 m...

Physics
Q

N 26 81 In the above problem to be changed by 1 increase by 20...

Physics
Q

x a If F x 2 1 dt then F x F 12 b If...

Calculus
Q

Janes Company provided the following information on intangible assets: a. A patent was...

Accounting
Q

Kara Ries, Tammy Bax, and Joe Thomas invested $26,000, $42,000, and $50,000, respectively, in a...

Accounting
Q

Troy Engines, Limited, manufactures a variety of engines for use in heavy equipment. The company...

Accounting
Q

FILL THE ASSET PORTION OF THE BALANCE SHEET Directions: Bearcat, LLP is auditing Dumbledore Manufacturing,...

Accounting
Q

Julio and Milania are owners of Falcons Corporation, an Scorporation. They each own 50 percent...

Accounting
Q

B) XYZ Co. is an HST registrant and started business on Feb 1, 2021. In...

Accounting
Q

b 62. Becu Pacific is a luxury passenger carrier in the Philippines. All seats-are first...

Accounting
Q

Standahl Air uses two measures of activity, flights and passengers, in the cost formulas in...

Accounting