Answer:
cost of capital 16%
Explanation:
SML formula:
![Ke= r_f + \beta (r_m-r_f)\\\\Where:\\r_f =$ risk free rate\\r_m= $ market rate\\\beta =non-diversifiable \:risk](https://tex.z-dn.net/?f=Ke%3D%20r_f%20%2B%20%5Cbeta%20%28r_m-r_f%29%5C%5C%5C%5CWhere%3A%5C%5Cr_f%20%3D%24%20risk%20free%20rate%5C%5Cr_m%3D%20%24%20market%20rate%5C%5C%5Cbeta%20%3Dnon-diversifiable%20%5C%3Arisk)
r_f = 3%
β = 1.3
r_m = 13%
0.03 + 1.3(0.13-0.03)
firm's required return = .16 = 16%
Answer: Nothing
Explanation:
From the question, we are informed that Z chooses a life income with 10 year period certain settlement option for the annuity Z owns and that Z dies after 15 years of receiving income benefit payments. Based on the above situation, Z's beneficiary receive will receive nothing.
This is because Z has already gotten the income benefits payment since it's for a 10 year period
d) $16.92
Each paycheck is $22,000/26 times per year = $846.15
Your company will match up to 2% of this. .02*$846.15= $16.92
You should contribute this amount each pay period in order to take full advantage of the "company match" because your company will add that much money into your retirement account on top of what you pay in.
Pay your balance each month and keep a limit
ARNT YOU KOOOOOOL!we live to hear itttt