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Delvig [45]
2 years ago
15

Diddy Corp. Stock has a beta of 1.2, the current risk-free rate is 6 percent, and the expected return on the market is 14.50 per

cent. What is Diddy's cost of equity?
Mathematics
1 answer:
ryzh [129]2 years ago
8 0

Answer: 16.2%

Step-by-step explanation:

You can find the cost of equity using the Capital Asset Pricing Model (CAPM).

Cost of equity = Risk free rate + Beta * (Expected return on market - Risk free rate)

= 6% + 1.2 * (14.50 - 6%)

= 6% + 10.2%

= 16.2%

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Marrrta [24]

Answer:

55-3m :) yw

Step-by-step explanation:

5 0
2 years ago
A textbook costs $65.49 before tax. The tax on the textbook is 6.5%. What is the total cost of the textbook? Round your answer t
AnnZ [28]
65.49*0.065 = 4.26
65.49+4.26 = $69.75
7 0
2 years ago
Read 2 more answers
Clint is in study hall reading the hunger games after 20 minutes he is on page 151 after 45 minutes he's on page 181 how many pa
Mademuasel [1]

After 20 minutes Clint is on page = 151

After 45 minutes Clint is on page = 181

Time slot = 45-20=25 minutes

Difference in pages in 25 minutes = 181-151=30 pages.

Lets suppose Clint is reading each page at same pace.

So , In 25 minutes, he can read = 30 pages

In 1 minute he can read = \frac{30}{25}=1.2 pages

Initial time is 20 minutes, so he can read the number of pages in 20 minutes = 20\times1.2=24

So, number of pages Clint read prior to study hall were =

151-24=127 pages.

6 0
2 years ago
It costs $3 to bowl a game and $2 for shoe rental. a. Write an expression for the total cost (in dollars) of $g$ games. Expressi
Semmy [17]

Answer: a. Total cost = 3g+2

b. The total cost of 8 games is $26.

Step-by-step explanation:

Given: Cost to bowl a game = $3

Shoe rental charge = $2  (One -time charge)

Total cost = (Cost to bowl a game) x (Number of games)+ (Shoe rental charge )

Let g= number of games, then the expression to find the total cost will be :

Total cost = 3g+2

To find the total cost of 8 games, put g=8, we get

Total cost = 3(8)+2

= 24+2 = $26

Therefore , the total cost of 8 games is $26.

7 0
1 year ago
Determine the t critical value(s) that will capture the desired t-curve area in each of the following cases. (Assume that centra
Triss [41]

Answer:

Step-by-step explanation:

a) this involves 2 tails

The critical value is determined from the t distribution table.

α = 1 - 0.95 = 0.05

1 - α/2 = 1 - 0.05/2 = 1 - 0.025 = 0.975

Looking at 0.975 with df 10

The critical value is 2.228

b) α = 1 - 0.95 = 0.05

1 - α/2 = 1 - 0.05/2 = 1 - 0.025 = 0.975

Looking at 0.975 with df 20

The critical value is 2.086

c) α = 1 - 0.99 = 0.01

1 - α/2 = 1 - 0.01/2 = 1 - 0.005 = 0.995

Looking at 0.995 with df 20

The critical value is 2.845

d) α = 1 - 0.99 = 0.01

1 - α/2 = 1 - 0.01/2 = 1 - 0.005 = 0.995

Looking at 0.995 with df 60

The critical value is 2.660

e) 1 - α = 1 - 0.01 = 0.99

Looking at 0.99 with df 10

The critical value is 2.764

f) 1 - α = 1 - 0.025 = 0.975

Looking at 0.975 with df 5

The critical value is 2.571

6 0
1 year ago
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