Calculate the Expected Return for B Services Which Has a Beta

question 100

Multiple Choice

Calculate the expected return for B Services which has a beta of 0.83 when the risk free rate is 0.05 and you expect the market return to be 0.12.

• A) 14.96%
• B) 16.15%
• C) 10.81%
• D) 17.00%
• E) 15.25%

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Definitions:

Planning Process

Involves setting objectives and determining the most effective course of action to achieve those objectives within a business or project.

BCG Matrix

A strategic business tool developed by the Boston Consulting Group to help organizations allocate resources among different business units based on market growth rate and market share.

Market Share

The percentage of an industry's sales that a particular company controls.

Significant Resources

Significant resources refer to substantial or important assets, financial or otherwise, that are available for use by individuals, organizations, or nations.