1. Which mission statement best represents the Digby company?

Innovation meets revolution. We create value for our customers through breakthrough designs that lead to unique high-performance products.

Consistency and affordability are our goals. Our central mission is to offer dependable, low-price products that our customers can count on.

Providing value to our customers is why we get up in the morning. We accomplish this by offering products at a low price our customers can afford across a wide variety of market segments.

Lasting innovation is our motivation. We build premium products that are elegantly designed to meet the needs of a variety of market segments.

2. A stock has an expected return of 11 percent. the risk-free rate is 5.2 percent. and the market risk premium is 5 percent. What is the stocks beta’

a) 1.08

b) 1.16

c) 1.29

d) 1.32

e) 1.35