1. What was at least one unintended consequence of the 2010 Dodd-Frank act? Propose an alternative solution.
2. What is the future value of a five year annuity due that promises to pay you $650 each year. Assume that all payments are reinvested at 10% a year until Year 4?
3. A stock has an expected return of 11.4 percent, its beta is .89, and the risk-free rate is 5.7 percent. What must the expected return on the market be?