If a Portfolio Had a Return of 10%,the Risk Free

question 18

Multiple Choice

If a portfolio had a return of 10%,the risk free asset return was 4%,and the standard deviation of the portfolio's excess returns was 25%,the risk premium would be _____.

• A)14%
• B)6%
• C)35%
• D)21%
• E)29%

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Definitions:

Sperm

The male reproductive cell or gamete, which is capable of fertilizing a female's ovum to produce offspring.

Cell

The smallest structural and functional unit of an organism, typically microscopic and consisting of cytoplasm and a nucleus enclosed in a membrane.

Rubella

A contagious viral infection, also known as German measles, characterized by a distinctive red rash.

Birth Defect

A physical or biochemical abnormality present at birth that can lead to mental or physical disabilities.