You invest 30% of your money in Stock A and 70% in Stock B….

You invest 30% of your money in Stock A and 70% in Stock B. The risk-free rate is % per year and the market risk premium is %. Stock A has a beta of . Stock B has a beta of . What is the expected return of this portfolio? Express your answer as a percentage to two decimal places; 23.45% would be 23.45, for example. 

A mutual fund manager has a $100 million portfolio with a be…

A mutual fund manager has a $100 million portfolio with a beta of 1.00. The risk-free rate is 4%, and the market risk premium is 6%. The manager expects to receive an additional $50 million, which she plans to invest in additional stocks. After investing the additional funds, she wants the fund’s required and expected return to be 11.00%. What must the average beta of the new stocks be to achieve the target required rate of return?

A 25-year bond making semi-annual coupon payments of $37.50…

A 25-year bond making semi-annual coupon payments of $37.50 is currently trading at a price of $696.71. The face value of the bond is $1000. What is the EAR/EFF of this bond? Please write your answer in percentage terms to two decimal places (7.21 percent is 7.21, not 0.0721)