What would be the expected return on a stock given the


What would be the expected return on a stock given the following: the rate of return on 1 year CD's is 2%, the return on 90 day T-Bills is 4%, the return on 10 year T-Bonds is 7%, the Prime is 8%, the return on the S&P 500 is expected to be 12%, your stock is considered to be twice as risky as the S&P 500 and the earth is 1 AU from the Sun. (AU = astronomical unit, roughly = to 93 million miles. While that has absolutely nothing to do with this problem, as a college student you should know its stuff!)

Request for Solution File

Ask an Expert for Answer!!
Financial Management: What would be the expected return on a stock given the
Reference No:- TGS01206519

Expected delivery within 24 Hours