To Calculate the Total Estimate of the  Required Rate of Return

question 344

Multiple Choice

To calculate the total estimate of the  required rate of return on an investment,multiply

• A)the T-bill rate times the estimated market risk plus beta.
• B)the beta value times the estimated market risk return plus the risk-free T-bill rate.
• C)the market risk times the diversified risk and add the risk-free rate.
• D)None of these.

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Definitions:

Revocation Of Acceptance

Undoing the acceptance of an offer or contract, often due to the discovery of a significant problem or defect.

Waived His Right

The act of voluntarily relinquishing a known right, claim, or privilege.

CISG

Stands for the United Nations Convention on Contracts for the International Sale of Goods, governing international sales contracts.

Substantial Part

A significant or large portion of a whole, which is essential or important in nature.