Posted on

Find an estimate of the risk-free rate of interest_Answer

Find an estimate of the risk-free rate of interest_Answer

Find an estimate of the risk-free rate of interest_Answer

Find an estimate of the risk-free rate of interest_Answer

Find an estimate of the risk-free rate of interest_Answer


Find an estimate of the risk-free rate of interest_Answer

Find an estimate of the risk-free rate of interest (krf). To obtain this value, go to Bloomberg.com: Market Data and use the “U.S. 10-year Treasury” bond rate (middle column) as the risk-free rate. In addition, you also need a value for the market risk premium. Use an assumed market risk premium of 9%. Download the XYZ Stock Information by clicking the link. Using the information from the XYZ Stock Information document, record the following values: XYZ’s beta (ß) = 1.64
XYZ’s current annual dividend $0.80
XYZ’s 3-year dividend growth rate (g) 8.2%
Industry P/E 15.65
XYZ’s EPS $4.87
With the information you recorded, use the CAPM to calculate XYZ’s required rate of return (ks).

For getting the instant digital download solution, Please click on the “PURCHASE” link below to get Find an estimate of the risk-free rate of interest_Answer

For instant digital download of the above solution or tutorial, please click on the below link and make an instant purchase. You will be guided to the PAYPAL Standard payment page wherein you can pay and you will receive an email immediately with a download link.

In case you find any problem in getting the download link or downloading the tutorial, please send us an email on mail@genietutorial.com

Find an estimate of the risk-free rate of interest_Answer