The difference between the mean and an observed value is called the deviation from the mean
Indicate whether the statement is true or false
TRUE
Business
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What if the company goes out of business in fifteen years and thus pays an annual dividend of $2.10 for only those fifteen years? What is the present value of a share for this company if we want a 10% return on the stock?
A) $15.97 B) $16.97 C) $17.97 D) $18.97
Business
The markets in general are paying a 2% real rate of return. Inflation is expected to be 3%. ABC stock commands a 6% risk premium. What is the expected rate of return on ABC stock?
A) 2% B) 5% C) 8% D) 11%
Business