Question
Assume both portfolios A and B are well diversified, that E ( r A ) = 12.4% and E ( r B ) = 13.2%.
Assume both portfolios A and B are well diversified, that E(rA) = 12.4% and E(rB) = 13.2%. If the economy has only one factor, and A = 1 while B = 1.1,What must be the risk-free rate? (Do not round intermediate calculations. Round your answer to 1 decimal place.)
Risk-free rate %
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Foundations Of Real Estate Financial Modelling
Authors: Roger Staiger
2nd Edition
1138046183, 978-1138046184
