Why are property rights important in dealing with externalities

Consider the following two stocks, a and b. stock a has an expected return of 10%, 10% standard deviation, and a beta of 1.20. stock b has an expected return of 14%, 25% standard deviation, and a beta of 1.80. the expected market rate of return is 9% and the risk-free rate is 5%. security would be considered a good buy if we include the stock in a well diversified a portfolio because a. b, it offers better alpha b. a, it offers better alpha c. a, it offers better sharpe ratio d. b, it offers better sharpe ratio

Bond x is noncallable and has 20 years to maturity, a 7% annual coupon, and a $1,000 par value. your required return on bond x is 10%; if you buy it, you plan to hold it for 5 years. you (and the market) have expectations that in 5 years, the yield to maturity on a 15-year bond with similar risk will be 9.5%. how much should you be willing to pay for bond x today? (hint: you will need to know how much the bond will be worth at the end of 5 years.) do not round intermediate calculations. round your answer to the nearest cent.

Money aggregates identify whether each of the following examples belongs in m1 or m2. if an example belongs in both, be sure to check both boxes. example m1 m2 gilberto has a roll of quarters that he just withdrew from the bank to do laundry. lorenzo has $25,000 in a money market account. neha has $8,000 in a two-year certificate of deposit (cd).