You Expect a Share of EconNews

question 84

Multiple Choice

You expect a share of EconNews.Com to sell for $65 a year from now.If you are willing to pay $61.06 for one share of the stock today, you expect a dividend payment of $4, and the rate of return on safe assets is 5%, how much is your risk premium?

• A)1.5%
• B)6.5%
• C)8.0%
• D)13.0%

Understand the placebo effect and its relevance in experimental designs.

Appreciate the importance of having a representative sample for generalizability of study results.

Know the basics of how and when to use inferential statistics to interpret study results.

Recognize the impact of social desirability bias on survey responses.

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Definitions:

Enforceable

Capable of being imposed or upheld by legal process or authority.

Release

A contract in which one party forfeits the right to pursue a legal claim against the other party.

Recovery

The process of obtaining rightful recovery or reimbursement for losses, damages, or sums owed.

Liquidated Debt

A debt that is due and certain in amount.