Alpha Stock Has a Beta of 1

question 74

Multiple Choice

Alpha stock has a beta of 1.29.The risk-free rate of return is 3.2 percent,and the market rate of return is 10.7 percent.What is the Alpha stock risk premium?

• A)7)24%
• B)9)30%
• C)7)59%
• D)8)77%
• E)9)68%