× Didn't find what you were looking for? Ask a question
Top Posters
Since Sunday
5
a
5
k
5
c
5
B
5
l
5
C
4
s
4
a
4
t
4
i
4
r
4
Home Q & A Board Other Fields Homework Help Business Finance
New Topic  
johnpaech johnpaech
wrote...
Posts: 1098
Rep: 7 0
6 years ago
Using the FFC four factor model and the historical average monthly returns, the expected monthly return for Wal-Mart is closest to:
A) 0.71%
B) 0.53%
C) 1.38%
D) 0.79%
Textbook 
Corporate Finance: The Core

Corporate Finance: The Core


Edition: 4th
Authors:
Read 96 times
1 Reply

Related Topics

Replies
wrote...
#1
6 years ago
D
Explanation:  D)
Factor Portfolio   Average Monthly Return (%)   IBM Factor Betas   GE Factor Betas   Wal-Mart Factor Betas   IBM Return Calc.   GE Return Calc.   Wal-Mart Return Calc.
Rm - rf   0.64   0.712   0.937   0.782   0.456   0.600   0.500
SMB   0.17   -0.103   -0.214   0.224   -0.018   -0.036   0.038
HML   0.53   0.124   0.154   0.123   0.066   0.082   0.065
PR1 YR   0.76   0.276   -0.147   0.247   0.210   -0.112   0.188
            E[Rs] =   0.714   0.533   0.791
New Topic      
Quick Reply
Explore
Post your homework questions and get free online help from our incredible volunteers
  1260 People Browsing
Start New Topic Take the Tour CoursesNew Study Tools Topics Trending Browse by Textbook
Live Chat
Related Images
  
 88
  
 4869
  
 287