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  2. Topic
    Business
  3. Study Set
    Fundamentals of Investments
  4. Exam
    Exam 1: A Brief History of Risk and Return
  5. Question
    You Find a Stock with Returns of 14
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You Find a Stock with Returns of 14

Question 2

Question 2

Multiple Choice

You find a stock with returns of 14.2%, - 10.1%, 8.7%, 29.7%, and 18.2%. The risk-free rate over this period was 6.4%, 6.8%, 5.2%, 4.4% and 5.3%. What was the standard deviation of the risk premium?


A) 10.59%
B) 11.86%
C) 13.16%
D) 14.02%
E) 15.41%

Correct Answer:

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