When Treasury Bills Yield 7% and the Expected Return on the Market

question 39

Multiple Choice

When Treasury bills yield 7% and the expected return on the market is 16%,then the risk premium on an asset is equal to:

• A) 9%.
• B) 16%.
• C) 9% times the asset's beta.
• D) 9% plus the risk-free rate.

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Exchange Of Ideas

A process where individuals or groups share, debate, or discuss their thoughts and concepts with one another.

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