The Expected Return on Justus, Inc

question 96

Multiple Choice

The expected return on Justus, Inc. stock is 15.63% while the expected return on the market is 12.4%. The beta of Justus's stock is 1.48. What is the risk-free rate of return?

• A) 3.97%
• B) 4.20%
• C) 4.68%
• D) 5.21%
• E) 5.67%

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Definitions:

Majority Groups

Social or ethnic groups that hold a significant amount of power and influence within a society.

Triple Jeopardy

The compounded experience of discrimination based on multiple aspects of one's identity, such as race, gender, and age.

Mental Health

A state of well-being in which individuals realize their own abilities, can cope with the normal stresses of life, can work productively, and are able to make contributions to their community.

Sociocultural Approaches

Psychological theories and treatments that emphasize the influence of societal and cultural factors on individual behavior and mental health.