The Excess Return Required from a Risky Asset Over That

question 6

Multiple Choice

The excess return required from a risky asset over that required from a risk-free asset is called the:

• A)risk premium.
• B)geometric premium.
• C)excess return.
• D)average return.
• E)variance.

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Definitions:

Loft

An upper room or floor in a building, typically under the roof, used for storage or accommodation.

Tenants

Individuals or entities who rent property from a landlord for residential or commercial use, under the terms of a lease agreement.

Lease Term

The duration period stipulated within a lease agreement during which the lessee has the right to occupy and use the leased property.

Constructive Eviction

A situation where a landlord's actions or inactions make a property uninhabitable, effectively forcing a tenant to leave.