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Temka [501]
2 years ago
5

Hastings Entertainment has a beta of 0.65. If the market return is expected to be 11 percent and the risk-free rate is 4 percent

, what is Hastings' required return
Business
1 answer:
maria [59]2 years ago
4 0

Answer:

The answer is 8.55 percent

Explanation:

This is Capital Assets Pricing Model(CAPM) shows the relationship between undiversified risk(systemai risk) and the expected rate of return for shareholders. It is used to determine the cost of equity. This model is widely used in finance.

The formula is: Risk free rate of return + beta(market return - risk free rate of return ).

Note that risk free rate of return - market return is known as risk premium i.e the compensation for taking risk.

Risk free rate of return - 4 percent

market return - 11 percent

Beta - 0.65

4 + 0.65(11 - 4)

4 + 0.65(7)

4 + 4.55

=8.55 percent

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Under the First Amendment, commercial speech is:
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Answer:

The correct answer is the option A: subject to intermediate scrutiny unlike political speech.

Explanation:

On the one hand, the <em>First Amendment to the United States Constitution</em> is the law that basically protects the rights of the people to have a free speech and moreover, establishes that the government can not intervene in an establishment of religion and prohibits the free exercise of religion.

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In the middle of the fourteenth century, an epidemic known as the Black Death killed a third of Europe’s population, about 34 mi
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Design a study that has a false correlation caused by a lurking variable.
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An example of a study that has a false correlation caused by a lurking variable is " research scientist examines the influence of diet and exercise on a an individual's blood pressure."

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Lurking variable is known to be a kind of a  variable that is said not be the explanatory variable nor can it be called the response variable but it is one that is seen to have a relationship (e.g. correlation) with the response and that of the  explanatory variable.

Note that A lurking variable is one that can be falsely identify as a strong relationship that exist between variables or it is one that often hide the true relationship.

Hence, An example of a study that has a false correlation caused by a lurking variable is " research scientist examines the influence of diet and exercise on a an individual's blood pressure."

Learn more about lurking variable  from

brainly.com/question/13285819

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