You have been managing a $5 million portfolio that has a beta of 1.25 and a required rate of return of 12%. The current risk-free rate is 5.25%. Please answer the following three questions:1. What is the market risk premium from the CAPM?

A. 0.054
B. 0.056
C. 0.058
D. 0.060

2. Assume that you receive another $500,000 ($0.5 million) and invest the money in a stock with a beta of 1.00. What is the portfolio beta of your new portfolio ($5.5 million in total)?

A. 1.2187
B. 1.2245
C. 1.2273
D. 1.2360

3. What will be the required return on your new portfolio?

A. 11.50%
B. 11.65%
C. 11.72%
D. 11.88%

As manager of kids skids, meghan wants to develop her relationship management skills. in order to do this, she learns how to

Croy inc. has the following projected sales for the next five months: month sales in units april 3,850 may 3,875 june 4,260 july 4,135 august 3,590 croy’s finished goods inventory policy is to have 60 percent of the next month’s sales on hand at the end of each month. direct material costs $2.50 per pound, and each unit requires 2 pounds. raw materials inventory policy is to have 50 percent of the next month’s production needs on hand at the end of each month. raw materials on hand at march 31 totaled 3,741 pounds. 1. determine budgeted production for april, may, and june. 2. determine the budgeted cost of materials purchased for april, may, and june. (round your answers to 2 decimal places.)

Search engines generate revenue through pay-per-click (each time a user clicks a link to a retailer’s website); pay-per-call (each time a user clicks a link that takes the user to an online agent waiting for a call); or pay-per-conversion (each time a website visitor is converted to a customer)