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4 years ago

Here are data on two companies. The T-bill rate is 5.8% and the market risk premium is 7.4%.

Business

1 answer:

cupoosta [38]4 years ago

5 0

Answer:

18.38% and 13.2%

Explanation:

As we know that

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

So for Discount store, it is

= 5.8% + 1.7 × 7.4%

= 5.8% + 12.58%

= 18.38%

And for everything store, it is

= 5.8% + 1.0 × 7.4%

= 5.8% + 7.4%

= 13.2%

The Market rate of return - Risk-free rate of return) is also known as the market risk premium and the same is applied.

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Alja [10]

Answer:

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Explanation:

The monthly payment which is required to achieve the goal is computed as:

Using the excel formula of PMT:

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where

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rate is 7%

but rate is compounded monthly, so

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3 years ago

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Rom4ik [11]

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So, $350 was added to the GDP.

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brainly.com/question/15682765

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2 years ago

How will the invisible hand move corn prices in re-sponse to:a. a flood that destroys a great deal of the corn crop?b. a rise in

kodGreya [7K]

Answer:

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Explanation:

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Nitella [24]

The answer is B. 1971

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Hope this helped. Have a great night!

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