Assume that the risk-free rate is 5.5% and the required returnon the market is 12%. What is the required rate of return on a stock with a beta of 2?

Assume that the risk-free rate is 6.4% and the market return is 8%. Calculate the expected rate of return of a stock with a volatility (beta) of 3%.

The risk-free rate is 2.58% and the market risk premium is 4.31%. A stock with a β of 1.22 will have an expected return of ____%.

Assume that the risk-free rate is 6.5% and the market risk premium is 8%. What is the required return for the overall stock market? Round your answer to one decimal place.   % What is the required rate of return on a stock with a beta of 0.6? Round your answer to one decimal place.   %

a) Astock has expected return of 10% and a beta of 0.70. Assume the risk - free rate is 5.5%. what must the expected return on the market be? b ) A stock has expected return of 15%, its beta is 1.45, and the expected return on the market is 12%. What must the risk - free rate be?

Which of these are true about the Security Market Line and Capital Market Line models? 1. the intercepts are the same 2. the independent variable for the Capital Market Line is beta 3, the Capital Market Line applies to portfolios only O 1 and 2 only O 2 only O 1 and 3 only O 2 and 3 only O 3 only

A stock has a beta of 1.5 and an expected return of 16.35%. What is the risk-free rate if the market rate of return is 12.5%? ______%

and the risk-free rate is 2.8 percent. market be? 7 16. Using CAPM A stock has an expected return of 10.2 percent and a beta of 91, and the expected return on the market is 10.8 percent. What must the risk-free rate be? return of 11.4

A stock has an expected return of 11.0%, its beta is 0.95, and the risk-free rate is 6.00%. What must the expected return on the market be?

Which of the following statements is CORRECT? (Assume that the risk-free rate is a constant.) a. The effect of a change in the market risk premium depends on the slope of the yield curve. b. If the market risk premium increases by 1%, then the required return on all stocks will rise by 1%. c. If the market risk premium increases by 1%, then the required return will increase by 1% for a stock that has a beta of 1.0. d. The effect of a change in the market risk premium depends on the level of the risk-free rate. e. If the market risk premium increases by 1%, then the required return will increase for stocks that have a beta greater than 1.0, but it will decrease for stocks that have a beta less than 1.0.