subject
Business, 17.04.2020 01:08 Jocelynrichards

HR Industries (HRI) has a beta of 1.6; LR Industries's (LRI) beta is 0.8. The risk-free rate is 6%, and the required rate of return on an average stock is 13%. The expected rate of inflation built into rRF falls by 1.5 percentage points, the real risk-free rate remains constant, the required return on the market falls to 10.5%, and all betas remain constant. After all of these changes, what will be the difference in the required returns for HRI and LRI

ansver
Answers: 2

Another question on Business

question
Business, 22.06.2019 13:00
Explain the relationship between consumers and producers in economic growth and activity
Answers: 1
question
Business, 22.06.2019 20:30
When patey pontoons issued 4% bonds on january 1, 2018, with a face amount of $660,000, the market yield for bonds of similar risk and maturity was 5%. the bonds mature december 31, 2021 (4 years). interest is paid semiannually on june 30 and december 31?
Answers: 1
question
Business, 23.06.2019 01:10
Snuggables sells microwaveable heat packs online. their sales software collects customer/sales information and shares it with the customer service and sales departments. none of the customer complaints or suggestions reach the product development person, however. which step of the three-step processes for success is snuggables failing to use fully?
Answers: 2
question
Business, 23.06.2019 14:30
When partners own different portions of the business, the terms should be stated clearly in what document? the articles of incorporation the executive summary the business summary the partnership agreement
Answers: 1
You know the right answer?
HR Industries (HRI) has a beta of 1.6; LR Industries's (LRI) beta is 0.8. The risk-free rate is 6%,...
Questions
Questions on the website: 13722367