Given the Following Data: Risk-Free Rate = 4%, Average Risk

question 30

Multiple Choice

Given the following data: risk-free rate = 4%, average risk premium = 7.7%. Calculate the required rate of return:

• A) 5.6%
• B) 7.6%
• C) 11.7%
• D) None of the given answers

Recognize the stakeholders affected by inflation and deflation.

Comprehend the phases of the business cycle and their characteristics.

Distinguish between endogenous and exogenous causes of recessions.

Identify changes in the natural rate of unemployment and factors influencing it.