Question 46 Based On The Capital Asset Pricing Model Capm If Us Government T Bills Are Currently Yielding 2 4 And Th 1 (30.03 KiB) Viewed 34 times
Question 46 Based On The Capital Asset Pricing Model Capm If Us Government T Bills Are Currently Yielding 2 4 And Th 2 (45.54 KiB) Viewed 34 times
Question 46 Based on the capital asset pricing model (CAPM), if US government t-bills are currently yielding 2.4% and the market risk premium is 8.5%, then a stock with a beta of 1.2 should yield: O 12.6% 07:3% O 9.7% 1 pts O 10.7%
Question 47 XYZ Corp. has bonds outstanding with a coupon rate of 4% and a YTM of 5.5%. The risk-free rate of return is 2% and the market is returning 12%. The stock has a beta of 2 and the firm is financed with 50% debt and 50% equity. If the tax rate is 25%, what is XYZ's WACC? O 13.1% O 12.5% O 13.8% 1 pts O 11.0%
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