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    Essentials of Investments
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    Exam 7: Capital Asset Pricing and Arbitrage Pricing Theory
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    According to the CAPM,what Is the Market Risk Premium Given
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According to the CAPM,what Is the Market Risk Premium Given

Question 44

Question 44

Multiple Choice

According to the CAPM,what is the market risk premium given an expected return on a security of 13.6%,a stock beta of 1.2,and a risk free interest rate of 4.0%?


A) 4.0%
B) 4.8%
C) 6.6%
D) 8.0%

Correct Answer:

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