Answer:
The stock should be trading at $14,74 today
Explanation:
In Capital Market Asset Pricing (CAPM) model. expected return = risk-free rate + beta*(market risk premium - risk-free rate)
= 5% + 1*(6%-5%) = 6%
If Analysts have a consensus view that the stock will be valued at $15.62 next year, then basing on expected return 6%, the stock price today should be
= $15.62%/(1+6%) = $14.74
People who patronized liquor sellers are called guests. Before those people can be served, the bar man has to decide whether to sell drinks to them or not. Some factors that make one unqualified to buy drinks include: under-age, intoxication, pregnancy, etc. So, the bar man has to assess the guest and decide whether to sell to him or not. Thus, when you are assessing a guest, you are: considering the age of that person, you are determining whether the customer is already drunk, you are checking if the customer is pregnant, if female, etc. When you are assessing a guest, you are getting information about the behavior of the guest.
Answer: $8.60
Explanation:
Since Henry wrote 24 checks in April and the bank charges $0.15 a check, the amount paid on the check will be:
= 24 × $0.15
= $3.60
Furthermore, since the monthly service charge for the checking account is $5, the total of the fees Henry pays in April on his checking account will be:
= $5 + $3.60
= $8.60
Therefore, the total amount that Henry will pay will be $8.60.
Answer:
monthly mortgage interest is less than monthly lease cost
Explanation:
4% of 1000000
= $40,000 per year
Per month: 40000/12
= %3,333.33
Monthly mortgage interest is less than monthly lease cost
Answer:
16.1%
Explanation:
According to CAPM :
expected return = risk free rate + ( beta x expected market return)
4.1% + (1.2 x 10%) = 16.1%