Return of Apple and PG compare the SP 500 - 24779

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  • Posted on: Thu 12 Sep, 2013
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Request Description

You hear on the news that the S&P 500 was down 2% today relative to the risk-free rate (the market’s excess return was ). You are thinking about your portfolioand your investments in Apple and Procter & Gamble.

a. If Apple’s beta is 1.4, what is your best guess as to Apple’s excess return today?

b. If Procter & Gamble’s beta is 0.4, what is your best guess as to P&G’s excess
return today?



Solution Description

Return of Apple and P&G compare the S&P 500.docx
Return of Apple...