If a Portfolio Had a Return of 12%, the Risk-Free

question 41

Multiple Choice

If a portfolio had a return of 12%, the risk-free asset return was 4%, and the standard deviation of the portfolio's excess returns was 25%, the risk premium would be

• A) 8%.
• B) 16%.
• C) 37%.
• D) 21%.
• E) 29%.

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The process by which individuals make choices or decisions without conscious awareness.

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