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    Exam 2: Diversification and Risky Asset Allocation
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    What Is the Risk Premium of a Stock That Has
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What Is the Risk Premium of a Stock That Has

Question 87

Question 87

Multiple Choice

What is the risk premium of a stock that has an expected return of 14.2 percent if the risk-free rate is 5.7 percent?


A) 9.4%
B) 19.9%
C) 7.5%
D) 7.9%
E) 8.5%

Correct Answer:

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