OB*BookProblem Walk ThroughSuppose you are the money manager of a $4.24 mbon investment fund the fund consists of four stocks with the following investments and betaStockBeta1.50(0.00)1.258.75WInvestment$320,000500,0001.320,0001,000,000CDthe market's required rate of retums 11% and the risk free rate is what is the fund's requered rate of retum De not found intermedate caldabone Round your answer to two decimal place

StockInvestmentBetaA$520,000.001.5B$500,000.00-0.56C$1,320,000.001.2D$1,900,000.000.75total$4,240,00…

Suppose you are the money manager of a $4.24 mon envenent fund the fund counts of four stocks with the flowing investments and be evestment A $320,000 THE 500,000 L3000 1,900,000 the funds reed rate of reta Do not under an hound our answer to two decinal place the market'ered rate of return SIDE Mock C Beta 1.30 (GM) Las 8.75

Suppose you are the money manager of a $4.24 mon envenent fund the fund counts of four stocks with the flowing investments and be evestment A $320,000 THE 500,000 L3000 1,900,000 the funds reed rate of reta Do not under an hound our answer to two decinal place the market'ered rate of return SIDE Mock C Beta 1.30 (GM) Las 8.75

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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еВook Problem Walk-Through Suppose you are the money manager of a $3.84 million investment fund. The fund consists of four stocks with the following investments and betas: Stock Investment Beta A $ 320,000 1.50 B 700,000 (0.50) 1,120,000 1.25 D 1,700,000 0.75 If the market's required rate of return is 9% and the risk-free rate is 6%, what is the fund's required rate of return? Do not round intermediate calculations. Round your answer to two decimal places. %
Please show working Please answer ALL OF QUESTIONS 1 AND 2 1. Suppose you are the money manager of a $4.95 million investment fund. The fund consists of four stocks with the following investments and betas: Stock Investment Beta A $ 280,000 1.50 B 460,000 (0.50) C 1,260,000 1.25 D 2,950,000 0.75 If the market's required rate of return is 8% and the risk-free rate is 4%, what is the fund's required rate of return? Do not round intermediate calculations. Round your answer to two decimal places. 2. Madsen Motors's bonds have 13 years remaining to maturity. Interest is paid annually; they have a $1,000 par value; the coupon interest rate is 10%; and the yield to maturity is 5%. What is the bond's current market price? Round your answer to the nearest cent.
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Calculating NAV A fund has a market value of securities of $860 million, cash and receivables of $29 million, current liabilities of $26 million and has 19 million fund shares outstanding. What is the fund's NAV per share? Multiple Choice $48.16 $46.79 O $47.62 O $45.42
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Suppose you are the money manager of a $4.82 millioninvestment fund. The fund consists of four stocks with the following investments and betas:Stock Investment BetaA $ 460,000 1.50B 500,000 (0.50)C 1,260,000 1.25D 2,600,000 0.75If the market’s required rate of return is 8% and the risk-free rate is 4%, what is the fund’s required rate of return?
Suppose you are the money manager of a $4.82 millioninvestment fund. The fund consists of four stocks with the following investments and betas:Stock Investment BetaA $ 460,000 1.50B 500,000 (0.50)C 1,260,000 1.25D 2,600,000 0.75 If the market’s required rate of return is 8% and the risk-free rate is 4%, what is the fund’srequired rate of return?8-8 BETA COEFFICIENT Given t
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4 Suppose you are the money manager of a 14.24 milion investment fund the fund mansists of four stocks with the following enestments and beta Stock Beta 1.39 (0.50) L25 0.75 A C Investment $320.000 500,000 L330,000 1,900,000 D the market's reared rate of retin e 11% and the uk be rate is what is the funds required rate of retum? Do not mund rtumedate canulations, Round your answer to two decal places
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D Suppose you are the money manager of a $4.28 million investment fund. The fund consists of four stocks with the following investments and betas: Stock Investment Beta A $ 340,000 1.50 B 700,000 C D 1,040,000 2,200,000 (0.50) 1.25 0.75 If the market's required rate of return is 12% and the risk-free rate is 5%, what is the fund's required rate of return? Do not round intermediate calculations. Round your answer to two decimal places. %

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