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- For each 1% change in the market portfolio's excess return, the investment's excess return is expected to change by due to risks that it has in common with the market. ..... А. 1% В. beta C. alpha D. 0%Sheet 5 Use Sheet 5 to complete the following Date GOOG Return NFLX Return Market Return Risk-Free Return GOOG Excess Return* NFLX Excess Return* Market Excess Return* 3/1/2017 0.7700 4.0000 3.7200 0.0050 0.2700 3.5000 3.2200 4/1/2017 9.2100 2.9700 -0.0400 0.0050 8.7100 2.4700 -0.5400 5/1/2017 6.5000 7.1400 0.9100 0.0050 6.0000 6.6400 0.4100 6/1/2017 -5.8200 -8.3800 1.1600 0.0050 -6.3200 -8.8800 0.6600 7/1/2017 2.4000 21.5800 0.4800 0.0050 1.9000 21.0800 -0.0200 8/1/2017 0.9500 -3.8300 1.9300 0.0050 0.4500 -4.3300 1.4300 9/1/2017 2.1100 3.8000 0.0500 0.0050 1.6100 3.3000 -0.4500 10/1/2017 6.0000 8.3200 1.9300 0.0050 5.5000 7.8200 1.4300 11/1/2017 0.4700 -4.5100 2.2200 0.0050 -0.0300 -5.0100 1.7200 12/1/2017 2.4500 2.3400 2.8100 0.0050 1.9500 1.8400 2.3100 1/1/2018 11.8100 40.8100 0.9800 0.0050 11.3100 40.3100 0.4800 2/1/2018 -5.5700 7.8000 5.6200 0.0050 -6.0700 7.3000 5.1200 3/1/2018 -6.6000 1.3600 -3.8900 0.0050 -7.1000 0.8600…use attachment to answer questions This question relates to Diagram 1 from the 9.4 diagrams, which shows the Security Market Line. What is the expected return on the market? Select one: a. 20% b. 10% c. 15% d. 5%
- Hi Anusha D 1/20 >> 5% From the following data calculate the information ratio: Risk free rate: 6% Beta:1.3 Market rate: 11.60% Actual return: 14.5% Tracking error: 9.30% 0.1211 0.1921 0.1721 0.1312 ContinueBased on Table 3, what is the liquidity risk premium? Table 3 Investment 1 2 3 4 5 O 1.25% O 1.50% O 0.25% O 1.12% Maturity 2 2 7 8 8 Liquidity High Low Low High Low Default Risk Low Low Low Low High Interest Rate 1.00% 1.25% 2.25% 2.93% 4.43%use attachment to answer question This question relates to Diagram 1 from the Quiz 9.4 diagrams, which shows the Security Market Line. What is the expected return on the market? Select one: a. 20% b. 10% c. 15% d. 5%
- Directions. Table Completion: Show your solution. 10 points LIST PRICE TRADE DISCOUNT DISCOUNT RATE NET PRICE P11,120.04 P1,850.50 P3,090.13 8.5% P501.25 P27,498.75(Cost of Trade Credit) Calculate the effective cost of the following trade credit terms where payment is made on the net due date. 2/10, net 30 3/15, net 30 Common Stock A Common Stock B Probability Return Probability Return .30 11% .20 25% .40 15% .30 6% .30 19% .30 14% .20 22%Problem 13-3 Performance Evaluation (LO1, CFA5) You are given the following information concerning three portfolios, the market portfolio, and the risk-free asset: Portfolio X Y Z Market Risk-free Rp 14.0% 13.0 8.5 12.0 7.2 бр 39% 34 24 29 0 Bp 1.50 1.15 0.90 1.00 B What are the Sharpe ratio, Treynor ratio, and Jensen's alpha for each portfolio? Note: A negative value should be indicated by a minus sign. Leave no cells blank - be certain to enter "O" wherever required. Do not round intermediate calculations. Round your ratio answers to 5 decimal places. Enter your alpha answers as a percent rounded to 2 decimal places. Portfolio X Sharpe Ratio Treynor Ratio Jensen's Alpha % Y % Z % Market %
- Problem 6-1 Financial Pages (LO1) Consider the table given below to answer the following question. Maturity Coupon Bid Price Asked Price Chg Asked Yield toMaturity (%) 15-02-2020 1.375 98.3281 98.3438 − 0.0078 2.228 15-02-2021 2.25 99.5781 99.5938 0.0313 2.391 15-02-2025 7.625 130.6719 130.6875 0.1094 2.770 15-02-2029 5.25 121.8516 121.9141 0.2344 2.908 15-02-2036 4.5 120.9063 120.9688 0.5313 2.986 15-02-2041 4.75 127.2422 127.3047 0.6641 3.084 15-02-2048 3 97.2656 97.2969 0.7266 3.140 a. What is the current yield of the 2.25% 2021 maturity bond? (Do not round intermediate calculations. Round your answer to 2 decimal places.)P Flag question Dhofar Energy Services has a Beta = 1.97 The risk-free rate on a treasury bill is currently 4.4% and the cost of equity has 20.70%. What is the market return? Select one: Oa 0.1267 Ob. 1.0827 Oc. All the given choices are not correct Od. 0.2497 Oe 0.1476Problem 6-6: Required Rate of Return CAPM Calculate the required rate of return by using CAPM based on the data below. DATA Risk-free rate = 0.04 Market Risk Premium 0.10 %3D Beta = 1.2