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- 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.Suppose you manage a $3 million fund that consists of four stocks with the following investments: Stock Investment Beta A $150,000 1.50 B 450,000 -0.50 C 600,000 1.25 D 1,800,000 0.75 If the market's required rate of return is 8% and the risk-free rate is 3%, what is the fund's required rate of return? Do not round intermediate calculations. Round your answer to two decimal places.Suppose you manage a $4 million fund that consists of four stocks with the following investments: Beta Stock A 1.50 B -0.50 1.25 C D 0.75 If the market's required rate of return is 14% and the risk-free rate is 7%, what is the fund's required rate of return? Do not round intermediate calculations. Round your answer to two decimal places. Investment $400,000 1,000,000 1,600,000 1,000,000 %
- Suppose you are the money manager of a $4.88 million investment fund. The fund consists of four stocks with the following investments and betas: Stock Investment A $ 260,000 B 640,000 с 1,180,000 D 2,800,000 0.75 If the market's required rate of return is 10% and the risk-free rate is 3%, what is the fund's required rate of return? Do not round intermediate calculations. Round your answer to two decimal places. % Beta 1.50 (0.50) 1.25Suppose you are the money manager of a $4.86 million investment fund. The fund consists of four stocks with the following investments and betas: Stock Investment Beta A $ 280,000 1.50 В 700,000 (0.50) 1,380,000 1.25 2,500,000 0.75 If the market's required rate of return is 11% 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. 22.65 %Suppose you are the money manager of a $4.92 million investment fund. The fund consists of four stocks with the following investments and betas: Stock Investment Beta A $ 560,000 1.50 B 400,000 (0.50 ) C 1,260,000 1.25 D 2,700,000 0.75 If the market's required rate of return is 8% 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. Suppose you are the money manager of a $4.92 million investment fund. The fund consists of four stocks with the following investments and betas: Stock Investment Beta A $ 560,000 1.50 B 400,000 (0.50 ) C 1,260,000 1.25 D 2,700,000 0.75 If the market's required rate of return is 8% 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.
- Suppose you manage a $4.52 million fund that consists of four stocks with the following investments: Stock Investment Beta A $200, 000 1.50 B 550, 000-0.50 C 1, 420, 000 1.25 D 2, 350, 000 0.75 If the market's required rate of return is 10% and the risk - free rate is 7%, what is the fund's required rate of return? Do not round intermediate calculations. Round your answer to two decimal places. %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 tConsider the following information and then calculate the required rate of return for the Universal Investment Fund, which holds 4 stocks. The market's required rate of return is 13.25%, the risk-free rate is 7.00%, and the Fund's assets are as follows: Stock Investment Beta A $200,000 1.5 B $300,000 -0.5 C $500,000 1.25 D $1,000,000 0.75
- Suppose you are the money manager of a $5.26 million investment fund. The fund consists of four stocks with the following investments and betas: Stock Investment Beta A $ 580,000 1.50 B 800,000 (0.50) C 980,000 1.25 D 2,900,000 0.75 If the market's required rate of return is 9% and the risk-free rate is 5%, what is the fund's required rate of return?Suppose you are the money manager of a $4.07 million investment fund. The fund consists of four stocks with the following investments and betas: Stock Investment Beta A $ 380,000 1.50 B 600,000 (0.50) C 1,140,000 1.25 D 1,950,000 0.75 If the market's required rate of return is 12% 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. Calculate the required rate of return for Mudd Enterprises assuming that investors expect a 3.9% rate of inflation in the future. The real risk-free rate is 2.0%, and the market risk premium is 5.0%. Mudd has a beta of 2.7, and its realized rate of return has averaged 13.0% over the past 5 years. Round your answer to two decimal places.Assume that you are the portfolio manager of the Forestie Fund, a $3 million hedge fund thatcontains the following stocks. The required rate of return on the market is 11.00% and therisk-free rate is 5.00%. Compute what is the portfolio’s required return should investors expecton this fund? (Please state your answer in 2 decimal points)Stock Amount BetaA $1,075,000 1.20B $675,000 0.50C $750,000 1.40D $500,000 0.75