1. If then which of the following statement is correct
- The firm offers superior investment opportunities.
- The value of the firm increases as plowback ratio b increases.
- Investors prefer that the firm payout earnings as dividends rather than reinvest earnings in the firm at an inadequate rate of return. ivermectina mg
- The stock price is unaffected by the plowback ratio. Investors are indifferent
2. Which of the following statements is correct with regard to bond valuation:
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- All else equal, the longer the time to maturity, the smaller the interest rate risk.
- All else equal, the higher the coupon rate, the greater the interest rate risk
- When coupon rate is lower than the market interest rate, the bond will sell at a premium.
- Bond price will fall as the market interest rate rises, as the present value of the bond’s future cash flows is obtained by discounting at a higher interest rate. ivermectin for ticks in big dogs
3. MRP in the CAPM is also known as _______. ivermectin covid rct
A) most risky portfolio
B) excess market return
C) most risky performance
D) choice of risk-free asset
There are additional questions in the attached document.