Calculate the required rate of return for manning, Ask an Expert

Finance

Calculate the required rate of return for Manning Enterprises assuming that investors expect a 4.8% rate of inflation in the future. The real risk-free rate is 1.75%, and the market risk premium is 5.5%. Manning has a beta of 2, and its realized rate of return has averaged 13% over the last 5 years. Round your answer to two decimal places.

View complete question

Basic Finance, Finance

Category:- Basic Finance
Reference No.:- M9865383

Have any Question?Write your Review or question?

Related Questions in Basic Finance

How does liability trading differ from agency trading and

How does liability trading differ from agency trading, and how is it similar? (Please attach any relevant supporting literature, if not, it is fine.)

Some managers focus on the bottom line which is the net

Some managers focus on the bottom line, which is the net income. What are some potential problems associated with such a view. Please help me by providing an historical example of a business or manager that suffered from ...

The belgian vandeputte group has the following operating

The Belgian Vandeputte Group has the following operating structure: sales = 100, raw materials used in the business = 30, direct production costs = 40, administrative costs = 20. Operating cycle: raw materials inventorie ...

In what way does service firms and manufacturing

In what way does service firms and manufacturing corporations compare in accounting for direct materials?

What are some methods a company use to ensure the entire

What are some methods a company use to ensure the entire organization understands and is involved with promotions that include their brand image? Can you share examples?

A 10 percent annual coupon rate bond pays interest

A 10 percent annual coupon rate bond pays interest semi-annually. Par value is $1,000. It has three years to maturity. Investors' required rate of return is 12 percent. What is the price (present value) of the bond?

You wish to get a surface when you enter your first

You wish to get a Surface when you enter your first university degree in 2 years. You have about $2,000 today in your saving account but the Surface costs $4,500. Assume the price stays the same. If you can earn 2.5% per ...

Please explain how to find the answer using a financial

Please explain how to find the answer using a financial calculator! Purchase price equals 93,500. Six-year loan with no money down and no monthly payments during the first year. After the first year, payment of $1300 per ...

Time value of money problem - future valuean amount of 160

TIME VALUE OF MONEY Problem - Future Value An amount of $160, 000 was invested on Jan 1, 2011 by a relative of your colleague for 2 years at the annual rate of 9.4% compounded quarterly. But in Jan 1, 2012 the terms of t ...

Question - bio-science inc will pay a common stock dividend

Question - Bio-Science Inc. will pay a common stock dividend of $4.60 at the end of the year (D 1 ). The required return on common stock (Ke) is 17 percent. The firm has a constant growth rate (g) of 7 percent. Compute t ...

4,153,160 Questions Asked
13,132 Experts
2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Recent Questions

Ask Basic Finance Expert