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Nadya [2.5K]
3 years ago
7

Stock Y has a beta of 1.59 and an expected return of 25%. Stock Z has a beta of 0.44 and an expected return of 12%. If the risk

free rate is 6% and the market risk premium is 11.3%. Which of the following statements is correct:
a. Stock Y and stock Z are correctly priced
b. Stock Y is underpriced and stock Z is overpriced
c. Stock Y is overpriced and Stock Z is underpriced
d. Both stock Y and stock Z are underpriced
Business
1 answer:
muminat3 years ago
7 0

Answer:35%

Explanation:

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wel

<u>Answer:</u>

<u>a good example of this is when we declined an equity investment offer. </u>

<u>Explanation:</u>

In the short-term one may see an investment offer as a never to be missed opportunity. However, certain investments lead to loss of control, this was true in our own case. Thankfully, we avoided the short-term gain in other to realize a long-term gain.

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Suppose, you have $20,000 in your account. You receive a monthly
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Answer:

According to the data provided the opportunity costs is detailed below:

Initial Balance  $20,000

Monthly interst      $200

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The Opportunity cost is $500

Explanation:

The opportunity cost is the price you pay for not choosing best second alternative when you make a decision. In this case the person has three options:

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2. Save the money

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True because I said so and i don’t really care but I hope this helped
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Answer:

See explaination for the details of the answer.

Explanation:

1) Increase

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