Question
A stock has an average expected return of 9.7 percent for the next year. The beta of the stock is 1.34. The T-Bill rate is
A stock has an average expected return of 9.7 percent for the next year. The beta of the stock is 1.34. The T-Bill rate is 5.2% and the T-Bond rate is3%. What is the market risk premium?
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Fundamentals of Multinational Finance
Authors: Michael H. Moffett, Arthur I. Stonehill, David K. Eiteman
5th edition
205989756, 978-0205989751
