Examlex
Describe what source documents are and the purpose they serve in a business.
Risk-Free Rate
The theoretical return on an investment with no risk of financial loss, typically represented by the yield on government securities.
Market Risk Premium
An additional expected return that investors demand for choosing to invest in the stock market over a risk-free investment, reflecting the extra risk assumed.
Average Stock
The average price of a company's stock over a specific period, which can indicate the stock's general trend.
Diversified Portfolio
An investment portfolio that contains a mix of assets (e.g., stocks, bonds, real estate) to reduce risk through diversification.
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