Explore BrainMass

Explore BrainMass

    Stock Beta and Standard Deviation:

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    1. A stock has an expected return of 13.6 percent, the risk free rate is 4 percent, and the market risk premium is 7.5 percent. What must the beta of this stock be?

    2. A portfolio has an annual variance of .0607. What is the standard deviation over a two month period.

    © BrainMass Inc. brainmass.com June 3, 2020, 9:42 pm ad1c9bdddf
    https://brainmass.com/business/beta-and-required-return-of-a-project/stock-beta-standard-deviation-195612

    Solution Preview

    See the attached file. The symbols and tables may print here correctly.

    Here we ...

    Solution Summary

    This solution answers two short conceptual question on capital asset pricing model and stock standard deviation.

    $2.19

    ADVERTISEMENT