Multiple Choice
Asset P has a beta of 0.9. The risk-free rate of return is 8 percent, while the return on the marketportfolio of assets is 14 percent. The asset's required rate of return is
A) 6.0 percent.
B) 10 percent.
C) 5.4 percent.
D) 13.4 percent.
Correct Answer:
Verified
Correct Answer:
Verified
Related Questions
Q13: The beta coefficient is an index of
Q20: Coefficient of variation is a measure of
Q79: The slope of the SML reflects the
Q131: If the Canadian bond market's historical average
Q133: Combining negatively correlated assets having the same
Q134: Stock XYZ has a beta of 1.2
Q135: If the annual rate of return on
Q138: Combining two assets having perfectly positively correlated
Q140: Suppose a stock had an initial price
Q141: Last year Mike bought 100 shares of