Multiple Choice
A risky asset has a beta of 1.58 and an expected return of 17.6 percent. What is the risk-free rate if the risk-to-reward ratio is 8.4 percent?
A) 2.74 percent
B) 4.03 percent
C) 4.33 percent
D) 5.32 percent
E) 5.82 percent
Correct Answer:
Verified
Correct Answer:
Verified
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