QUESTION 3 Given the information in the table, what is the market's expected return on the stock? Netflix, Inc. (NFLX) NasdaqGS-NasdaqGS Real Time Price. Currency in USD 488.24 +3.57 (+0.74%) At close: November 20 4:00PM EST Summary Company Outlook Previous Close Open Bid Ask Volume 484.67 Avg. Volume 485.22 488.50 x 1200 Day's Range 52 Week Range 290.25-575.37 489.00 x 800 481.57-494.76 4,255,924 Chart Market Cap Beta (5Y Monthly) PE Ratio (TTM) EPS (TTM) Conversations Stati Earnings Date Forward Dividend & Yield Ex-Dividend Date 6,176,382 1y Target Est Add to watchlist 215.702B 1.02 78.85 6.19 Jan 19, 2021- Jan 25, 2021 N/A (N/A) N/A 547.53
QUESTION 3 Given the information in the table, what is the market's expected return on the stock? Netflix, Inc. (NFLX) NasdaqGS-NasdaqGS Real Time Price. Currency in USD 488.24 +3.57 (+0.74%) At close: November 20 4:00PM EST Summary Company Outlook Previous Close Open Bid Ask Volume 484.67 Avg. Volume 485.22 488.50 x 1200 Day's Range 52 Week Range 290.25-575.37 489.00 x 800 481.57-494.76 4,255,924 Chart Market Cap Beta (5Y Monthly) PE Ratio (TTM) EPS (TTM) Conversations Stati Earnings Date Forward Dividend & Yield Ex-Dividend Date 6,176,382 1y Target Est Add to watchlist 215.702B 1.02 78.85 6.19 Jan 19, 2021- Jan 25, 2021 N/A (N/A) N/A 547.53
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
Related questions
Question
answer both please

Transcribed Image Text:QUESTION 3
Given the information in the table, what is the market's expected return on the stock?
Netflix, Inc. (NFLX)
NasdaqGS-NasdaqGS Real Time Price. Currency in USD
488.24 +3.57 (+0.74%)
At close: November 20 4:00PM EST
Summary Company Outlook
Previous Close
Open
Bid
Ask
Day's Range
Volume
484.67
Avg. Volume
485.22
488.50 x 1200
489.00 x 800
52 Week Range 290.25-575.37
481.57-494.76
4,255,924
6,176,382
Chart
Market Cap
Beta (5Y
Monthly)
PE Ratio (TTM)
EPS (TTM)
Conversations Stati
Earnings Date
Forward
Dividend & Yield
Ex-Dividend Date
1y Target Est
Add to watchlist
215.702B
1.02
78.85
6.19
Jan 19, 2021-
Jan 25, 2021
N/A (N/A)
N/A
547.53

Transcribed Image Text:QUESTION 4
The market risk premium is 5.41%. What is this stock's risk premium?
Alibaba Group Holding Limited (BABA)
NYSE - NYSE Delayed Price. Currency in USD
270.74 +10.85 (+4.17%)
At close: November 20 4:02PM EST
Summary Company Outlook
Previous Close
Open
Bid
Ask
Day's Range
Volume
259.89
Avg. Volume
263.97
271.90 x 1200
271.98 x 800
52 Week Range 169.95-319.32
261.90-272.37
32,819,979
Chart
Market Cap
Beta (5Y
Monthly)
PE Ratio (TTM)
EPS (TTM)
Conversations Stat
Earnings Date
Forward
Dividend & Yield
Ex-Dividend Date
17,265,179 1y Target Est
Add to wat
706.325B
1.28
29.08
9.31
Feb 11, 2021-
Feb 15, 2021
N/A (N/A)
N/A
336.62
Expert Solution

This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 3 steps with 3 images

Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, finance and related others by exploring similar questions and additional content below.Recommended textbooks for you

Essentials Of Investments
Finance
ISBN:
9781260013924
Author:
Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:
Mcgraw-hill Education,



Essentials Of Investments
Finance
ISBN:
9781260013924
Author:
Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:
Mcgraw-hill Education,



Foundations Of Finance
Finance
ISBN:
9780134897264
Author:
KEOWN, Arthur J., Martin, John D., PETTY, J. William
Publisher:
Pearson,

Fundamentals of Financial Management (MindTap Cou…
Finance
ISBN:
9781337395250
Author:
Eugene F. Brigham, Joel F. Houston
Publisher:
Cengage Learning

Corporate Finance (The Mcgraw-hill/Irwin Series i…
Finance
ISBN:
9780077861759
Author:
Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor
Publisher:
McGraw-Hill Education