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ABC Inc's stock has an expected return of 10.75%, a beta of 1.0, and is in equilibrium. If the risk-free rate is 5.00%, what is
ABC Inc's stock has an expected return of 10.75%, a beta of 1.0, and is in equilibrium. If the risk-free rate is 5.00%, what is the market risk premium?
1. | 4.28% | |
2. | 4.55% | |
3. | 5.75% | |
4. | 4.32% | |
5. | 5.15% |
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