Use the Following Information to Answer the Question(s) Below

question 57

Multiple Choice

Use the following information to answer the question(s) below.
An exchange traded fund (ETF) is a security that represents a portfolio of individual stocks. Consider an ETF for which each share represents a portfolio of two shares of Apple Inc. (APPL) , one share of Google (GOOG) , and ten shares of Microsoft (MSFT) . Suppose the current stock prices of each individual stock are as shown below:

-Suppose that a security with a risk-free cash flow of $1000 in one year trades for $930 today.If there are no arbitrage opportunities,then the current risk-free rate is closest to:

• A) 6.0%
• B) 6.5%
• C) 7.0%
• D) 7.5%
• E) 8.0%

---

Definitions:

Restorative Sleep

a phase of sleep that is particularly rejuvenating, characterized by deep sleep stages that help in physical and mental recovery.

Brain Circuits

Networks of interconnected neurons in the brain that work together to process information and execute functions.

Memory Consolidation

The process by which short-term memories are converted into long-term memories, making them stable and long-lasting.

REM Sleep

A stage of sleep characterized by rapid eye movement, vivid dreaming, and increased brain activity, playing a key role in learning and memory.