1. What are the implications of the empirical SML being “too flat”?
2. What are the challenges for the Foreign investor in another country? Into
Problem
Solution
Conclusion
Recommendation
3. Today is your 21st birthday and your bank account balance is $15,000. Your account is earning 4.5% interest compounded semiannually. How much will be in the account on your 50th birthday?
a. $53,761 b. $54,521 c. $55,984 d. $58,429