Business, 06.04.2021 03:00 yatish

The CAPM estimate of rs is equal to the risk-free rate, rRF, plus a risk premium that is equal to the risk premium on an average stock, (rM - rRF), scaled up or down to reflect the particular stock's risk as measured by its beta coefficient, bi. This model assumes that a firm's stockholders are diversified, but if they are diversified, then the firm's true investment risk would not be measured by - and the CAPM estimate would the correct value of rs.

Answers: 2

Show answers

Other questions on the subject: Business

Business, 20.06.2019 18:04, tessalopezgarcia2345

Maia wants to have a career in quality assurance. which best lists the qualifications she may need to succeed in this career? a. knowledge of cad, mechanical and electrical knowledge, and logic b. ability to use lab equipment, operate computers, and examine evidence c. financial skills, dependability, and dexterity for physical labor d. math skills, physical strength, and ability to use tools and machinery

Answers: 2

continue

Business, 21.06.2019 16:30, jenkuehn9220

Collective bargaining provides for a representative of employees to negotiate with a representative of management over labor issues including wages. true or false?

Answers: 3

continue

Business, 22.06.2019 13:40, moneytt2403

Computing equivalent units is especially important for: (a) goods that take a relatively short time to produce, such as plastic bottles. (b) goods with sustainability implications in their production processes. (c) goods that are started and completed during the same period. (d) goods that take a long time to produce, such as airplanes.

Answers: 2

continue

Business, 22.06.2019 19:00, mazolethrin3461

The following are budgeted data: january february march sales in units 16,200 22,400 19,200 production in units 19,200 20,200 18,700 one pound of material is required for each finished unit. the inventory of materials at the end of each month should equal 20% of the following month's production needs. purchases of raw materials for february would be budgeted to be:

Answers: 3

continue

You know the right answer?

The CAPM estimate of rs is equal to the risk-free rate, rRF, plus a risk premium that is equal to th...