Which of the Following Is NOT a Key Variable in the Equation

question 17

Multiple Choice

Which of the following is NOT a key variable in the equation for the capital asset pricing model?

• A)The risk-free rate of interest.
• B)The expected rate of return on the market portfolio.
• C)The marginal tax rate.
• D)All are important components of the CAPM.

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Definitions:

Country

A nation with its own government, occupying a particular territory.

Crude Death Rate

A measure of the number of deaths in a given population during a specified period, typically expressed per thousand individuals per year.

Deaths

refers to the cessation of all biological functions that sustain living organisms, marking the end of life.

Population

The total number of people or inhabitants in a particular area or country.