Question
Assume both portfolios A and B are well diversified, that E(rA) = 14.0% and E(rB) = 16.4%. If the economy has only one factor, and
Assume both portfolios A and B are well diversified, that E(rA) = 14.0% and E(rB) = 16.4%. If the economy has only one factor, and A = 1 while B = 1.3,What must be the risk-free rate?
| (Do not round intermediate calculations. Round your answer to 1 decimal place.)
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Behavioral Finance And Asset Prices
Authors: David Bourghelle, Pascal Grandin, Fredj Jawadi, Philippe Rozin
1st Edition
3031244850, 978-3031244858
