Multiple Choice
If IBM has a beta of 1.2 when the risk-free rate is 6% and the expected return on the market portfolio is 18%, the expected return on IBM is:
A) 17.2%
B) 20.4%
C) 22.1%
D) 23.6%
Correct Answer:
Verified
Correct Answer:
Verified
Related Questions
Q33: A stock that went from $120 per
Q34: If a market is semi-strong form efficient,
Q35: Which of the following is not required
Q36: The portfolio that contains all risky assets
Q37: The standard deviation of a portfolio is
Q39: Exchange rate risk can be eliminated through
Q40: In an efficient market:<br>A) it is fairly
Q41: The term "ex-ante" refers to the past
Q42: A stock that went from $40 per
Q43: Systematic risk is rewarded with higher returns