Use the following information to answer the question(s) below. Market MSFT Risk-free Market MSFT Excess Excess Year Return Retum Return Retum Return Beta 2018 3.0% 6.0% 5.5% 3.0% 2.5% 0.833 2019 1.5% -38.5% -32.6% -40.0% -34.1% 0.853 2020 1.0% 22.5% 19.6% 21.5% 18.6% 0.865 Using the average historical excess returns for both MSFT and the Market portfolio, your estimate of MSFT's beta is closest to: O a. 1.19. O b. 1.00. O c. 0.84. O d. 0.75.

Use the following information to answer the question(s) below. Market MSFT Risk-free Market MSFT Excess Excess Year Return Retum Return Retum Return Beta 2018 3.0% 6.0% 5.5% 3.0% 2.5% 0.833 2019 1.5% -38.5% -32.6% -40.0% -34.1% 0.853 2020 1.0% 22.5% 19.6% 21.5% 18.6% 0.865 Using the average historical excess returns for both MSFT and the Market portfolio, your estimate of MSFT's beta is closest to: O a. 1.19. O b. 1.00. O c. 0.84. O d. 0.75.

Excel Applications for Accounting Principles

4th Edition

ISBN:9781111581565

Author:Gaylord N. Smith

Publisher:Gaylord N. Smith

Chapter15: Ratio Analysis (ratioa)

Section: Chapter Questions

Problem 4R: Prepare a ratio analysis for Global Technology for 2013. The following information is available for...

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